Financial Reforms: PFRDA, SBI bills likely in winter session
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Financial Reforms: PFRDA, SBI bills likely in winter session

Last Updated: Wednesday, November 04, 2009, 23:37
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Financial Reforms: PFRDA, SBI bills likely in winter session New Delhi: Aiming to take second generation reforms forward, the government is planning to table four financial sector bills, including the ones on pension reform and SBI legislations, in the winter session of Parliament.

The government intends to table four bills--PFRDA Bill, SBI Amendment Bill, State Bank of Saurashtra Repeal Bill and State Bank of India Subsidiary Bill--related to the financial sector during the winter session, which begins November 19, official sources said.

The PFDRA Bill to give statutory powers to the pension regulator and open up the sector to foreign investments was originally introduced in 2005 but could not be be cleared due to persistent opposition from the Left parties.

The other bill to be tabled in the Winter session is the State Bank of India (amendment) Bill that proposes to bring government holding at par with the nationalised bank that is currently 51 per cent.

As per the SBI Act, the promoter, that is the government, holding cannot come below 55 per cent. Currently, the government holds 59.73 per cent stake in SBI.

Besides, SBI (Subsidiary Banks Laws) Amendment Bill is expected to be tabled in the Parliament. The Bill proposes to empower government to fix the authorised or issued capital of a subsidiary of the SBI, as also appoint top officials.

SBI ownership was transferred from RBI to government of India in 2007 and due to change in ownership, those provisions need to be modified to reflect the change in ownership.

The government also intends to introduce a Bill in Parliament for repealing the State Bank of Saurashtra Act, 1950.

The Act has lost relevance as the bank has been merged with the State Bank of India.

Bureau Report

First Published: Wednesday, November 04, 2009, 23:37

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