Cabinet clear over Rs 9,000 cr capital infusion in IDBI Bank

PTI

Union HRD Minister Prakash Javadekar (File Photo)

Union Minister Prakash Javadekar (File Photo)

The government on Tuesday approved over Rs 9,000 crore capital infusion in IDBI Bank with a view to increasing the lender’s capital base.

The Union Cabinet has cleared recapitalisation of IDBI Bank with a one-time infusion of funds by both the government and the LIC, Information and Broadcasting Minister Prakash Javadekar told reporters here.

Out of Rs 9,000 crore, the government will provide Rs 4,557 crore as one-time re-capitalisation to IDBI Bank, he said.

Besides, he said, LIC will infuse Rs 4,700 crore.

The government also announced an increase in the price of ethanol procured by public sector oil marketing companies for one year starting December.

The decision was taken by the Cabinet Committee on Economic Affairs chaired by Prime Minister Narendra Modi.

The price of ethanol derived from C heavy molasses has been increased from Rs 43.46 a litre to Rs 43.75 per litre, and for B heavy molasses to Rs 54.27 per litre from Rs 52.43 earlier, an official release said.

Also, the price of ethanol from sugarcane juice, sugar, sugar syrup route has been fixed at Rs 59.48 per litre.

The increased prices have been approved for the forthcoming sugar season 2019-20 and will be applicable from December 1, 2019, to November 30, 2020.

(PTI)