Budget 2021-22: Rs 20,000-cr cash jab proposal for PSU banks sets lenders on a rally
The BSE Sensex rallied nearly 1,000 points led by gains in financial stocks in the afternoon session on Monday after Finance Minister Nirmala Sitharaman said in her Union Budget speech that the government would infuse Rs 20,000 crore into public sector banks in 2021-22 to meet the regulatory norms.
The 30-share Sensex was trading 929.54 points or 2.01 per cent higher at 47,215.31 at the time of filing this story. The broader Nifty index surged 260.05 points or 1.91 per cent to 13,894.65. On the Sensex chart, IndusInd Bank was the top gainer, rallying over 10 per cent, followed by ICICI Bank, HDFC, Bajaj Finserv, M&M and SBI.
To push growth via infrastructure creation, Sitharaman proposed raising the government’s capital expenditure for FY 2021-22 by 34.5 per cent to Rs 5.5 lakh crore.
On the currency front, the rupee was trading 6 paise lower at 73.02 against the US dollar.