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India hopes to get ADB loan worth 300m dollar
NEW DELHI. Dec 6: India is hoping to win a 300 million dollar credit Une from the Asian Development Bank (ADB) to boost its financial reforms programme, the Press Trust of India (PTI) reported Sunday, writes AFP.
Negotiations to tie up the loan would take a "final shape" when ADB President K Tarumizu arrives here Thursday on a two-day visit during which he will also hold talks on project assistance, PTI said.
He will meet Prime Minister P V Naraslmhft Rao and Finance Minister Manmohan Singh, among others.
An Indian delegation visited Manila last month for preliminary talks on the loan, to be used mainly for beefing up the capital of nationalised banks.
The ADB. which started lending money to India in 1986, Is New Delhi's third largest source of credit after the World Bank and Japan. The Manila-based bank lent 892 million dollar to India last year.
Assistance India is seeking from the agency Includes 200
million dollar in the power sector. 150 million dollar for energy conservation and environment management and 285 million dollar for coal transport.
RBI sacks another banker
Another report adds: India's central bank has sacked the chairman of a regional bank a
fortnight before his term was due to expire In the latest move to dismiss those who were Involved in a huge securities swindle, says AFP.
Bank of Madurai Chairman S P Sabapathy described his termination, which was announced Friday, as "unfair" and ■ "incorrect" in an Interview with the Press Trust of India (PTI) on Saturday in the southern Indian city of Madras.
Sabapathy said he would appeal to the Finance Ministry to clear the stigma stemming from the dismissal ordered by the Reserve Bank of India (RBI), which also barred him from holding any management position in a bank for five years.
He, reportedly, said the bank had lost no money and accused the RBI of persecuting him for no fault of his own.
The central bank said in an announcement that ft was holding him responsible for irregularities in securities transactions, saying the Bank of Madurai was trading In "abnormally" high volumes with insignificant holdings.