Fact Check: Has government decided to privatise State Bank of India?

New Delhi, Jan 07: A claim has gone viral in which it is stated that the NITI Aayog is planning on privatising, public sector banks including the State Bank of India.

It was also claimed that along with the State Bank of India, the NITI Agog is contemplating privatising even the Punjab National Bank.

This has however turned out to be a fake claim.

The Press Information Bureau (PIB) while fact checking this message took to Twitter and said "several media reports claim that a list has been shared by Niti Aayog on the privatization of Public Sector Banks. The claim is fake. No such list has been shared by Niti Aayog in any form."

On December 19, the government had said that it would take a view on the privatisation of Public Sector Banks. This would be done after consulting with the department and regulators concerned.

"A fictitious message is being circulated in media regarding a list shared by NITI Aayog on the privatisation of Public Sector Banks. It is hereby informed that no such list as mentioned has been shared by NITI Aayog in any form," NITI Agog said in a relapse.

In a written reply to the Lok Sabha, Minister of State for Finance Bhagwat Karad said that consideration of issues related to disinvestment and decision on selection, terms and conditions, etc. in case of strategic sale is entrusted to the Cabinet committee designated for this purpose under the Government of India (Transaction of Business) Rules, 1961.

"Before such consideration for decision thereon, consultation is undertaken with the Ministries and departments concerned and, where necessary, with the regulator concerned," he said.

In March 2021, Union Finance Minister, Nirmala Sitharaman said, 'we need banks which are going to be able to scale up... We want banks that are going to be able to meet the aspirational needs of this country.'

Hence it clear that there is no such decision that has been taken by the government to privatise the public sector banks including the State Bank of India and Punjab National Bank.