IDBI Bank shares zoom over 10 pc after govt announces sale of balance holding

Shares of IDBI Bank zoomed over 10 percent at the close of trade on Saturday after Finance Minister Nirmala Sitharaman said the government's balance holding in the company will be sold. The scrip advanced 17.55 percent to Rs 39.85 on the BSE during the day. Later, it closed at Rs 37.30, up 10.03 percent.

On the NSE, it jumped 10.20 percent to close at Rs 37.25. The finance minister said a clean, reliable and robust financial sector is required for achieving the ambitious target of USD 5-trillion economy.

She also said the government's balance holding in IDBI bank will be sold to private retail investors. Presenting the Budget for 2020-21, Sitharaman said the robust mechanism was in place to monitor the health of all commercial banks and asserted that depositors' money was absolutely safe.

She noted that Rs 3.50 lakh crore capital had been infused in public sector banks in past years while acknowledging that there was a need for greater private capital in banks.