also need to be balanced. Perhaps, the recently constituted Banks Board Bureau (BBB) can perform such an advisory role. 21. It also needs to be emphasised that PSBs are listed and their shares are held by diversified private institutions and individuals and interests of these minority shareholders need to be protected.
Any plan for merger or acquisition has to be a Board led process in which all stakeholders have to be involved from beginning. 22. Further, mergers among PSBs may reduce competition in certain segments or geographies substantially and may alter competition between banks and non-banks.