Which two banks are likely candidates for privatization along with IDBI bank as per Union Budget ???
The Government has proposed the mandatory legislative amendments for privatization of two PSBs in Union budget itself.
Let's analyse which banks can be the possible contenders. here is a list of various PSB along with the Government stake in them.
Now we will look at the profit earned by these banks in last quarter.
The share price of these banks as per BSE are as follows as per Feb 9, 2021
As we can see the share of these banks PNB, Punjab and Sindh Bank, IDBI are rising and Government has good percentage of investment in these. Government won't sell out a bank which will not earn them a profit.
So as per above analysis PNB, Punjab and Sindh Bank can be possible two contenders as per my opinions.
What are your views on this?