89 thoughts on “Dynamics of Consolidation

  1. Avinash Jammar

    It seems to be a good move by government to merge public sector banks as they will now target efficiency and governance rather than competition. The sector can now improve on financials.

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  2. Deepak Bansal

    So true is the statement that ultimately the new bank will be a public sector undertaking that will function in the same old manner with little accountability and impunity for bank officials.

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  3. Jai Shah

    Banking space has its drawbacks and weaknesses. At least now we have someone who has thought of rectifying weaknesses by way of consolidation and this will prove to be profitable in the long run.

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  4. Madhan Kumar

    The biggest challenge is to merge employees of three banks in one bank. They have different mindsets and work culture and the move of merging can backfire if this aspect is not taken care of.

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  5. Aditya Ramanujam

    Dena Bank has the weakest financial numbers and it will pose a problem for other two banks that are functioning well in their regions. The weak bank can prove to be a drag in this exercise.

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  6. Harsh Joshi

    Most crucial part is to rid banks of bad governance and inefficiency of employees. Unless a sense of duty is inculcated in them there will be no benefit from merging public sector banks of India.

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  7. kamlesh soni

    Customers of all three banks will be the ones who are set to reap the benefits of merger. At least now they can use their debit cards on larger number ATMs of any of the bank.

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  8. Prashant Rathi

    With IDBI out of government hand, it will be problematic for employees to deal with new management whose sole focus will be on profitability and reducing expenses.

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  9. Bipin somvanshi

    What about privatising banks? Having fewer banks is good but this cannot be an alternative to privatisation. The government can raise much money by divesting its stake in PSBs and this must be done.

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  10. gaurav singh

    Many analysts and experts have given mixed reaction to merging of Dena Bank, BoB and Vijaya Bank. With the passage of time we can claim if this is the best way of improving India’s public banks.

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