New Delhi: In a significant step to enhance the nomination facility in banks, the Lok Sabha passed the Banking Laws (Amendment) Bill, 2024, allowing customers to have up to four nominees in their bank accounts. Replying to the debate on the Bill, Union Finance Minister Nirmala Sitharaman said bank account holders will have the option of successive or simultaneous nomination facility. However, the Bill states that depositors having lockers in banks will have only successive nomination.
Sitharaman said that the Modi government and the Reserve Bank of India (RBI) have been extremely cautious to ensure that banks remain stable.
“”Since 2014 we have been extremely cautious so that banks remain stable. The intention is to keep our banks safe, stable, healthy, and after 10 years you are seeing the outcome,” Sitharaman said.
Public sector banks performed ‘exceptionally well’ in recent years: Sitharaman
Further taking part in the debate on the Banking Laws (Amendment) Bill, 2024, the Finance Minister said that all the public sector banks have turned profitable.
Finance Minister Nirmala Sitharaman on Tuesday said that the public sector banks are safe, stable and healthy and have performed “exceptionally well” in recent years earning Rs 85,520 crore profit in the first six months of the current fiscal.
Replying to a debate on the Banking Laws (Amendment) Bill, 2024, the minister said that all the Public Sector Banks have turned profitable.
The Bill passed by the Lok Sabha calls for amendment in the Reserve Bank of India Act, 1934, the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980, the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970, the State Bank of India Act, 1955, and the Banking Regulation Act, 1949. The Bill was passed by the Lok Sabha by a voice vote.
Sitharaman emphasised that Indian banking system is critical to the growth of the nation. “Indian banks have performed exceptionally well in recent years. Highest-ever net profit of Rs 1.41 lakh crore was achieved in 2023-24 & Rs 85,520 Crore in the first half of 2024-25. Today, all the public sector banks have turned profitable. “As a sector, profitability of all scheduled commercial banks is the highest in multiple decades, with the Return on Assets at 1.3 per cent and return on equity at 13.8 per cent,” the minister said.
The Lok Sabha passed the Banking Laws (Amendment) Bill, 2024, allowing bank customers up to four nominees. Finance Minister Nirmala Sitharaman highlighted the improved stability of Indian banks, emphasizing their record profits. The bill amends several acts, including the RBI Act, impacting nomination processes and significantly enhancing account holder security. Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
