Bhubaneswar, November 26 (LocalWire): The state government has empanelled 29 banking and financial institutions for handling government business and deposits of public sector undertakings and State Level Autonomous Societies for 2019-20.
After thorough scrutiny, it has been decided to deposit government funds in 17 nationalised banks, eight private banks, and three regional rural banks, besides the state-run cooperative bank.
Restrictions have been imposed on carrying out government transactions in any other banks other than these 29 ‘earmarked’ banks, the finance minister Niranjan Pujari told the Odisha assembly.
The circular dated 21 October, issued by the Finance Department, had directed the government departments to take precaution while depositing government funds in the banks.
The government’s circular apprehending ailing fiscal health of banks had triggered statewide furore prompting the government to withdraw the controversial circular.