State-run Punjab National Bank (PNB) has completed IT integration of all branches of erstwhile Oriental Bank of Commerce (OBC) with itself, the bank said in a release on December 2.
All customers of erstwhile OBC Bank are now migrated to CBS of PNB wherein they can transact seamlessly via existing branches and digital banking channels like internet banking and mobile banking, the bank said.
The ATM Switch and terminals also rowed smoothly into the PNB network. The entire migration has been completed without effecting any change in their account numbers, debit cards or net banking credentials, the bank said.
With this, the OBC customers can now enjoy services at a wider network of branches without any hassle owing to harmonized products and services at PNB network.
The amalgamation of PNB, United Bank of India and OBC has come into effect from April 1, this year. The merger created the second-largest nationalized bank in terms of business and total branches.
Six Indian public sector banks (PSBs), some of which have been in existence for over a century, ceased to exist on April 1 after their amalgamation with bigger PSBs.
According to this plan, Syndicate Bank was merged with Canara Bank, and Union Bank of India absorbed both Andhra Bank and Corporation Bank. Also, Indian Bank took over Allahabad Bank.
The Narendra Modi-government hopes that these mergers will bring size and scale to the Indian banking sector. But, experts have raised questions on whether these goals will be achieved in reality. Right now, Indian banks are neck-deep in non-performing assets (NPAs). Total gross NPAs have grown close to Rs 8 lakh crore and analysts expect more pain to come on account of a slowed economy and the COVID-19 pandemic's economic fallout.
Also, without deep governance reforms in these banks, merely merging these entities could be a futile exercise, experts say.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
