Punjab National Bank has sound fundamentals : Arun Jaitley

The Finance Minister came in full support of the Punjab National Bank and asserted that the bank like the Indian economy has sound fundamentals and strong growth potential.

Jaitley’s remarks come as some relief for the PNB management, which has been facing strong criticism ever since the Rs 12,700 crore scam perpetrated by Nirav Modi came to light.

Jaitley noted that the public sector bank had a high share of current account and savings account (CASA) deposits, healthy provision coverage ratio of over 60 per cent and high potential for mobilising capital through sale of non-core assets.

Jaitley highlighted that market capitalisation depends upon underlying fundamentals, growth potential and general market sentiment.