RBI removes Allahabad Bank, Corporation Bank, Dhanlaxmi Bank from PCA

The Reserve Bank of India (RBI) has taken off Allahabad Bank, Corporation Bank and Dhanlaxmi Bank from the Prompt Corrective Action (PCA) framework allowing them to resume their normal lending activities.

The Board for Financial Supervision (BFS) met on Tuesday to review the performance of banks under PCA and noted that the government has infused fresh capital into various banks including some of the banks currently under the PCA framework.

“PSBs turnaround continues! Strategy enables PSBs Allahabad and Corp Banks to exit PCA. Both need to continue to maintain better performance and improved prudential controls for clean banking,” Banking Secretary Rajeev Kumar tweeted.