The Cabinet has approved a proposal to allow the government to buy RBI's 59.7% stake in SBI. This will cost Rs 40,000 crore at current market price.
Discussing the same, Finance Minister, P Chidambaram said, "Ownership of shares in SBI is now held by the RBI. Following the Second Narasimham Committee recommendations that the regulator should not be the owner of a bank, this is being transferred to the Government of India."
He further said that in the similar way, RBI's shareholding in NABARD and the National Housing Bank will also be transferred to the Government of India.
"In the case of SBI, since it's a listed stock, it will be based on market prices and in the case of NABARD and NHB, since these are unlisted stocks, it will be transferred at book value. But this is a cashless transfer; whatever money we give to the RBI comes to the Government of India," he explained.
Discussing the same, Finance Minister, P Chidambaram said, "Ownership of shares in 
