Bank of Baroda, Vijaya Bank, and Dena Bank merger expected to begin on April 1

A committee led by Finance Minister Arun Jaitley approved the merger of banks, Bank of Baroda, Dena Bank and Vijaya Bank, on Monday.

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Recently, Finance Ministry approved the merger of Bank of Baroda, Vijaya Bank, and Dena Bank. As per expectations, the merger will take place from April 1, 2019, and three banks will be amalgamated. The banks intend to finish the procedure by the end of the financial year 2018-19.

The Board of Directors of the three banks will have a meeting in the current month. The bank's plans for the merger will be made accordingly in the meeting along with plans regarding the exchange of shares, availability of funds, details of the accounts will be made accordingly.

A committee headed by Finance Minister Arun Jaitley made the decision of merger of the three banks on Monday. If things fall in place, then the merger will turn into the third largest bank in the country.

Last year, the country’s largest bank, The State Bank of India faced a lot of trouble after its five co-operative banks along with one of its Women’s bank were merged together. After which, The State Bank got included in the 50 top largest banks in the world.

Public sector banks had to bear a loss of ₹87,357 crore in 2017-18. Of the 21 banks in the public sector, all the banks except Indian Bank and Vijaya Bank had to bear losses during the financial year.

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