23-05-2025
India central bank reviewing shareholding norms for banks, says chief Malhotra
MUMBAI, May 23 (Reuters) - India's central bank is examining foreign shareholding norms and licensing rules for banks as a part of a broader review, Governor Sanjay Malhotra said in an interview published by The Times of India on Friday.
"We are examining this in totality as part of our internal examination. We will review all aspects of the eligibility conditions," Malhotra told the newspaper when asked about increasing shareholding limits further, in particular for foreign banks wanting to come to India.
The Reserve Bank of India is also examining the need for scaling up banks to manage the increasing needs of the economy, the governor told the newspaper.
Malhotra refused to comment specifically on the troubles at private lender IndusInd Bank ( opens new tab but said the system as a whole "is very robust and strong. There are no systemic risks or concerns."
