BISHESHWAR MISHRA / NEW DELHI

The Union Cabinet today cleared recapitalization of IDBI Bank with a one-time infusion of funds by both the government and the LIC.

It has approved 9,000 crore capital infusion into IDBI Bank, including 4,557 crores by the government as one-time re-capitalisation.

Briefing media after the Cabinet meeting here today, Union Minister Prakash Javadekar said this will help both IDBI and LIC, and it shows the government’s commitment to take banking to a sound level. He said the government is watching developments in the banking sector and is committed to the recapitalisation of banks.