Bharat’s banking sector is standing tall and has
become the centre of discussion, said Prime Minister Narendra Modi while
addressing the Central Hall of Parliament on September 19.
“Technology such as introducing UPI has inspired
nations,” added PM Modi.
Earlier on July 22, PM Modi hit out at the erstwhile
UPA Government, saying while it destroyed the banking sector with “scams” his
dispensation has restored its good financial health, with Bharat now known for
the sector’s strength.
Addressing a Rozgar Mela after providing appointment
letters to 70,000 plus recruits virtually, PM Modi noted that a large number of
them have been employed in the banking sector as he highlighted how it was “destroyed”
under the previous dispensation before his government took corrective measures.
He said the “phone banking” scam was one of the
biggest scams of the previous government as it broke the back of the banking
system.
“The idea of phone banking was different for that
government as loans of thousands of crores of rupees were given to favourites
of some powerful leaders and families, and those loans were never meant to be
returned,” he said.
Public sector bank shares booming
Public sector banks (PSBs) were seen as laggards a
few years ago, leading investors to shun them and flock to the growth-hungry
private sector banks. But that script has changed today.
Over the past year, the PSU Bank index has jumped 52
per cent compared with an average 12 per cent jump in the share prices of some
major private banks, according to data.
Shares of PSBs such as UCO Bank and Punjab And Sind
Bank have given astonishing returns of over 223.20 per cent and 178.70 per cent,
respectively.
Bank of Maharashtra and Central Bank of Bharat have gained
significantly, rising 140.04 percent and 122.70 per cent, respectively.
Amid turbulent market conditions marked by
high-interest rates and inflation, the Nifty PSU Bank Index tracking the
performance of PSBs has surged by a noteworthy 52 per cent over the past year.
This is far higher than the Nifty Bank Index’s 12
per cent gain in the same period.
