CPI writes to finance minister opposing govt proposal to privatise nationalised banks

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New Delhi, Jul 17 (PTI) CPI general secretary D Raja wrote to Finance Minister Nirmala Sitharaman on Saturday, hitting out against the government proposal to privatise nationalised banks.

In his letter, Raja said the finance minister had mentioned in her budget speech that the government has proposed to privatise two nationalised banks.

'Since privatisation of any bank is not in the interest of our economy and people, we have expressed our strong opposition to the same, both inside Parliament and outside. Our opposition to such privatisation of banks is on account of the fact that our banks today represent huge public savings of the common masses and these precious savings are safe only if the banks are in government control,' he said.

The Left leader pointed out that a large-scale failure of many private banks was the reason behind the move to nationalise banks in the first place, adding that the government is thinking about privatisation of banks at a time when many private companies have turned out to be major loan defaulters.

'It would be imprudent to hand over the banks to private hands, whose efficiency is also not guaranteed going by the recent experiences of some of the private banks. Nationalised banks have been greatly helping and supplementing the government's efforts to boost the economy and hence, need to be further strengthened with adequate measures from the government,' he said.

Raja said media reports have quoted a Niti Aayog recommendation proposing the names of the Central Bank of India and the Indian Overseas Bank for privatisation.

'Even though these are news items not authenticated by any official agency of the government, nonetheless, the same is creating a lot of anxiety and anguish amongst the employees and officers of these two banks.

'I have learned that even some deposits are being withdrawn by customers. Hence, it will be desirable for the government to make a statement clarifying the position,' he added.

'In case the government has any such proposal to privatise any bank, our party is opposed to it. Such a decision must be reviewed and rescinded,' the Communist Party of India (CPI) said. PTI ASG RC

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