The Union Government chose senior banker Rakesh Sharma as the new Managing Director and Chief Executive officer for IDBI Bank.
As per the government’s instructions, Rakesh Sharma will be working as MD and CEO for the next 6 months or till the time there are no further notices about the leadership of the organisations. He is to focus on the easy transfer of majority ownership to Life Insurance Corporation of India.
He will be replacing B.Sriram, who three-month term was finished last month. Rakesh Sharma is a recognised face in the banking industry due to his past experience with Canara Bank as MD and CEO.
Reportedly, LIC earlier announced to go for an open offer for 26% ( or shares worth ₹12,000 crore )to take over IDBI. The bank posted ₹8,237.92 crore losses in this financial against ₹5,158 crore in the previous financial year. Moreover, it reported ₹55,588.26 crore under gross bad loans.