Shimla, May 14 UNI | 2 months ago

In wake of RBI Governor's visit to this hill state, the local unit of the Communist Party of India Marxist has condemned the recommendations of an RBI panel to privatise public sector banks in the country.

In a statement issued by party secretariat member and Deputy mayor of M C Shimla, Tikender Singh Panwaar said that Congress party which is still at the centre has forgotten to learn any lessons from the effect of neo-liberal policies and is desperate to implement it in the banking and financial sector too.

At the time when the whole country is awaiting the results of the Lok Sabha election, a panel appointed by RBI headed by former Chairman of AXIS Bank P J Nayak has come out with its report to privatise Public Sector Banks (PSBs).

The eight member committee constituted by RBI on January 20, this year had its first sitting on February 18, 2014 and submitted its report on May 12.

'The CPI(M) strongly opposes this recommendation of the P J Nayak Committee. Again and again several attempts are made by the ruling parties (both the BJP and Congress) at the Centre and RBI to privatise PSBs. The velocity of this move has increased multifold in the recent period.

The priority sector lending which has improved the standard of living of crores of the under privileged people will be given up if the nationalised banks are privatised. The main reason behind the suicide of lakhs of farmers in the past decade is lack of institutional credit,' the statement said

It further argued, 'This will further aggravate if PSBs are privatized. The loans for education, SMEs will also disappear which will deprive higher education to the poor students and lakhs of job opportunities which SMEs create.'

It said the CPI(M) strongly opposes this privatization move of RBI or Government which is inimical to the interest of the common man.

(Posted on 15-05-2014)