Following infusion of capital in these banks, their financial health improved leading RBI to remove them from Prompt Corrective Action.
New Delhi: Rating agency Thursday revised upwards its outlook on four banks, including Bank of India, Punjab National Bank and Oriental Bank of Commerce to stable from negative.
However, the outlook of Punjab & Sind Bank was revised downwards to negative from stable.
Outlook of four banks — Bank of India, PNB, OBC and Bank of Maharashtra — revised to stable from negative, ICRA said in a statement.
Three of these banks — Bank of India, OBC and Bank of Maharashtra — recently came out from weak-bank watch list of Reserve Bank of India (RBI).
Following infusion of capital in these banks, their financial health improved leading RBI to remove them from Prompt Corrective Action (PCA).
The government’s December 2018 capital infusion into the banks — Rs 10,100 crore into Bank of India, Rs 4,500 crore into Bank of Maharashtra and Rs 5,500 crore into OBC — was a key driver in the banks’ improvement.
