No need to panic on Yes Bank: SBI chairman

New Delhi, March 6 (SocialNews.XYZ) SBI chairman Rajnish Kumar on Friday said there is no need to panic on account of developments in the Yes Bank.

"What's there to panic, no need to panic, all depositors are safe RBI governor has said also, just be patient, everything will be fine," Kumar told reporters.

Yes Bank shares were down to 15.10 from Rs 21.70 (58.97 per cent)

State Bank of India in a late night information on Thursday to exchanges said its board has given in-principle approval to explore an investment opportunity in Yes Bank.

Earlier RBI Governor Shaktikanta Das said the central bank will come out with a scheme very shortly to revive Yes Bank within 30 days.

"We took the step (of putting it under moratorium) when we found that Yes Bank efforts were not working. Depositors' interests will be fully protected. A decision has been taken not only to deal with the problem in the individual entity but also to maintain the resilience of the Indian financial sector."

He said that the RBI's decision on Yes Bank will help maintain the resilience of the financial sector. He said that the Yes Bank issue's resolution will be done very swiftly, within 30 days as the outer time limit.

On Thursday, the RBI superseded the Yes Bank board for 30 days and appointed an administrator, putting a cap of Rs 50,000 on withdrawal by account holders for a month.

The RBI said that the bank's board was superseded "owing to serious deterioration in the financial position of the Bank". Former SBI CFO Prashant Kumar was appointed as administrator of Yes Bank.

Source: IANS