Yes Bank to resume full banking services from March 18
There is a relief news for Yes Bank customers. Yes Bank has tweeted and informed that after 6 pm on March 18, customers will be able to do normal transactions through their account. The bank’s account holders will be able to transact from all 1,132 branches.
We will resume full banking services from Wed, Mar 18, 2020, 18:00 hrs. Visit any of our 1,132 branches from Mar 19, 2020, post commencement of banking hrs to experience our suite of services. You will also be able to access all our digital services & platforms@RBI @FinMinIndia
— YES BANK (@YESBANK) March 16, 2020
Last week, the government notified a plan to restructure Yes Bank in order to revive, which is struggling with economic crisis. The government has appointed Prashant Kumar as Managing Director, CEO. According to the government notification, the ban on Yes Bank will be lifted from 6 pm on March 18. In a press conference on Friday, Finance Minister Nirmala Sitharaman gave information about the plan related to the restructuring of Yes Bank.
Investment made to stabilize financial system: SBI chairman
State Bank of India (SBI) chairman Rajnish Kumar said on Monday that the investment made in the troubled YES Bank is to bring stability in the financial system. He said that it is not based on the principle of income from investment. “The decisions of SBI and other banks are coming together, and are not based on the principle of income from investment or capital,” Kumar told reporters at the ceremony of listing SBI Cards and Payment Services on the stock market. The purpose of all this is to bring stability in the financial system.
There was a ban on March 5, 2020
From 6 pm on March 5, 2020, the withdrawal limit of Yes Bank Depositors was fixed by RBI by Rs 50,000 per month. Since then, many customers of Yes Bank was neither able to transfer money by any means nor was able to withdraw cash from ATM.
Nirmala Sitharaman said that SBI has invested up to 49 per cent in Yes Bank. Along with this, other investors are also being invited. SBI’s 26% investment will have a lock-in period of three years. While the lock-in period of 75% of the investment amount of other investors will be three years.
Finance Minister Nirmala Sitharaman also said that the authorized capital has been increased from Rs 1100 crore to Rs 6200 crore to increase the capital requirements immediately and later.
These banks have invested in Yes Bank
SBI has invested Rs 6,050 crore in Yes Bank. ICICI Bank, HDFC Limited, Axis Bank, Kotak Mahindra Bank, Bandhan Bank, Federal Bank and IDFC First have also invested in Yes Bank alongwith SBI.
18,654 crore loss in third quarter
Yes Bank suffered a loss of Rs 18,654 crore in the third quarter ended December due to the pressure of subdued debt. This is the highest ever loss of a private sector bank.
