The crisis facing banks in India has been brewing for some years now. A large and growing share of the outstanding loans extended by commercial banks has turned into bad loans or Non-Performing Assets (NPAs).
Mazdoor Ekta Lehar (MEL) interviewed Comrade Devidas R. Tuljapurkar, Joint Secretary, All India Bank Employees Association (AIBEA), on the conditions of the bank employees and the overall situation of the public sector banks.
Bank workers face the threat of massive job losses
They also know that mergers are a stepping stone to privatisation
On 1 April 2020, ten state-owned banks were turned into four giant sized banks through mergers. The proposal for these ...
We are witnessing a significant rise in the degree of concentration of banking capital in our country today, following the mergers that have been implemented recently. In this context, it is useful to recall Lenin’s teaching on the role of banks in the imperialist stage of capitalism.
Public sector banks are run in the service of private capitalist corporations
When the process of bank mergers began three years ago, the Central Government claimed that it was aimed at addressing the problem of “non-performing assets” or bad loans accumulated by many state-owned banks. However, the problem of bad loans has only grown from bad to worse since then.
Banking capital in our country is being rapidly concentrated through mergers and privatisation of public sector banks. The aim is to create a handful of giant monopoly banks, competing and colluding to make maximum profits.
The problems affecting banks in our country are growing from bad to worse. It is a matter of serious concern.