Government Bank: The government will sell its stake in these 4 banks, find out how much and when, and the stock is rising sharply.

News Topical, Digital Desk : Public sector bank shares rose on September 17th. Indian Overseas Bank, Punjab & Sind Bank, UCO Bank, and Central Bank of India rose up to 1%. This was driven by comments by DFS Secretary M. Nagaraju, who stated that these four banks would raise capital this year to meet SEBI's minimum public shareholding (MPS) requirements. However, the government clarified that it has no intention of reducing its stake in PSU banks below 51%.

Shares of four public sector banks saw a slight rise in trading on Wednesday morning.
Indian Overseas Bank (IOB) – Government shareholding 94.61%
Punjab & Sind Bank (PSB) – Shareholding 93.85%
UCO Bank (UCO) – Shareholding 90.95% Central Bank of India – Shareholding 89.27%​​The government's stake in these banks is around or above 90%. SEBI regulations require public shareholding in any listed company to be no less than 25%. Capital will be raised to meet this requirement. DFS Secretary M Nagaraju said at CNBC-TV18's Banking Transformation Summit, "We need funds. This year we will increase capital in four banks to meet SEBI guidelines and have sufficient capital to increase lending capacity." He said that last year's profits have led to strong credit growth, and low inflation and liquidity are supporting the system. The government clarified that the stake in PSU banks will not go below 51%. That means they will remain government-controlled banks because it is in the public interest.

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