Dena Bank, Vijaya Bank and Bank of Baroda to merge

[hike]

It would be better to merge Vijaya bank with Canara bank as both are Bangalore based. Syndicate bank and Corporation bank can also be merged to this.

So, what will make sense to merge Bangalore based both the bank? I will not talk in view of financial status as I don't know much about that. But, how it will help other states people to reach Vijay & Canara my aunt closed her account in Canara bcoz this bank has only few branch in my city, even though Vijay Bank has few branch.

 

[piinku1]

Bad decision as it will increase NPA of BOB which is struggling due to bad loans and chota modi.

 

[hike]

People who feels it's bad decision then note dena bank is in Prompt Corrective Action and to cover that to help each other these are being merge, otherwise Dena Bank will leads to be in trouble soon. It's as simple as that.

 

[JollyLNB]

It would be better to merge Vijaya bank with Canara bank as both are Bangalore based. Syndicate bank and Corporation bank can also be merged to this.

From Karnataka alone there are 5 public banks: Vijaya, Canara, Syndicate, Corporation and Karnataka Bank.

 

[hike]

Bad decision as it will increase NPA of BOB which is struggling due to bad loans and chota modi.

Chota modi???

 

[WizarD]

So, what will make sense to merge Bangalore based both the bank? I will not talk in view of financial status as I don't know much about that. But, how it will help other states people to reach Vijay & Canara my aunt closed her account in Canara bcoz this bank has only few branch in my city, even though Vijay Bank has few branch.

One is ease in the merger process as the corporate offices are in one state.
Upon merger this can become a major bank in the South and expand operations in North.

From Karnataka alone there are 5 public banks: Vijaya, Canara, Syndicate, Corporation and Bank of Karnataka.

I don't know which one is Bank of Karnataka!
Karnataka Bank is there, which is a scheduled bank.

 

[Amit1079]

Chota modi???

Nirav modi is chota modi Looks like that @piinku1 is it bro

 

[anuj_t]

Surprised about negative reactions here. Mergers are only going to create strong entities and this is much needed for PSU banks struggling with bad loans.

 

[JollyLNB]

I don't know which one is Bank of Karnataka!
Karnataka Bank is there, which is a scheduled bank.

Corrected!

 

[kushalsharma]

GOOD DECISION BY GOVT AS DENA BANK IS SUFFERING FROM HIGH AMOUNT OF NPA AS DISCLOSED BY EX RBI GOVERNER RAGHURAM RAJAN THAT TODAY'S CONDITION OF NPA IS BECAUSE OF WRONG POLICIES OF CONGESS FROM 2008 TO 2012 THEY HAVE TO MERGE THEM OTHERWISE IT WILL BE DIFFICULT TO SURVIVE BUT IT WILL ALSO EFFECT FUTURE JOBS IN THESE BANKS.