MONDAY, 31 AUGUST 2026

Bank privatisation: The interest of depositors is at stake

Parliament has introduced bills to privatise nationalised banks, some of which were slated to be merged earlier. The interest of depositors is at stake. Depositors associations are totally dormant. Should the depositors be not taken into confidence and their say taken into account when it is their hard-earned money?

The bank unions are protesting to safeguard their own interests camouflaging as the voice of depositors. The stiff charges by banks for every facility and now for limited deposits and withdrawals in a month are shocking.

The voice of the depositors does not matter as they are not having the force of collective bargaining power. Private banks do not care for small depositors as their sole motive is profit. Bank employees will have their performance on strict watch and will be held accountable and responsible, which they fear most. The government does not own the banks to act unilaterally without hearing the depositors. 

Most of the malaise facing the banks is NPA and bad loans. Remember Mallya and other defaulters were given loans by a consortium of 17 banks without adequate collateral security and it was an abuse of power. Has anyone been held responsible for this? Depositors face the music for defaulting on even small loan amounts. The government extends help for bad debts and here the taxpayers’ money is used.

It is time to raise questions on the safety of depositors’ money parked in banks. In its moves to privatise nationalised banks, the government has completely ignored the depositors who are being taken for a sweet ride. 

Bank nationalisation had helped small businessmen to prosper. They managed to own vehicles, houses and modernise their businesses. These loans were more secure and recovery was almost hundred percent. It is big business sharks who have increased NPAs by defaulting on payments.

Depositors must raise their voice as politicians are known to have coerced banks to extend loans even to buy phones for their cronies. The government’s intentions to put depositors at the mercy of private investors are clear. 


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Babush will lose the next election if he doesn’t keep casino promise

STEPHEN DIAS, Dona Paula
Published Feb 14, 2021, 12:24 AM IST
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On February 10, a news report appeared in almost all the dailies that the MLA of Panaji did a U-turn on casinos although he had categorically announced that he would remove these from the river in 100 days.According to him, he was forced to make the U-turn to satisfy people of Panaji who have businesses and are dependent on casinos. He announced this without any consideration of the fact that almost all the businessmen who have shops in Panaji are not residing in the city.…

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