Is it better for India to have bigger but fewer banks?

Abstract

There are reports that India will be going in for another round of consolidation in public sector banking. Reserve Bank of India (RBI) governor Urjit Patel recently noted at Columbia University that it is better for the country to have fewer but healthier banks.

While the government is considering consolidation of public sector banks (PSBs), NITI Aayog, a policy think-tank that advises the Indian government, is reportedly working to formulate a roadmap and submit a report by the first week of July. Read more at: https://qz.com/india/1010063/consolidation-of-public-banks-is-it-better-for-india-to-have-bigger-but-fewer-banks/