The government may consider additional infusion to the Indradhanush, a revamp plan intended to infuse Rs 70,000 crore into the public sector banks to strengthen their balance sheets. Indradhanush was announced last year with an aim to infuse Rs 70,000 crore in state-owned banks over four years, while the banks will have to raise a further Rs 1.1 lakh crore from the markets to meet their capital requirements in line with global risk norms Basel III. According to the plan, PSU banks will get Rs 25,000 crore this fiscal and as well as the next fiscal and Rs 10,000 crore each in 2017-18 and 2018-19. Out of Rs 25,000 crore set for the current fiscal, the government has infused about Rs 20,088 crore in 13 public sector banks. The announcement on the additional boost to the package is expected to be made next month by finance minister Arun Jaitley in the Budget 2016-17.
