The capital infusion by the Government of India in Public Sector Banks (PSBs) is done with the twin objective of adequately meeting the credit requirement of the productive sectors of economy as well as to maintain regulatory capital adequacy ratios in PSBs.  The Government of India, as the majority shareholder, is committed to keep all PSBs adequately capitalized.   Infusion of capital by Government in PSBs is in addition to their internally generated capital to enable the banks to maintain a comfortable level of Tier-I CRAR.  Towards this end, the Government of India has been infusing need based capital in PSBs.   An amount of Rs.12,517 crore was infused in 13 PSBs during 2012-13. 

The Government of India has approved infusion of Rs.14,000 crore in the PSBs during Financial Year 2013-14, through preferential allotment of equity in its favour, as per the following particulars: