Yes Bank to start full-fledged banking operations from 6 pm today

Yes Bank CEO-designate Prashant Kumar has assured customers that complete operational normalcy will be restored in the bank from 6 PM today. He said, there are absolutely no worries on the liquidity front and all branches of the bank and ATMs have adequate supply cash. There would not be any need to depend on any external sources for liquidity.

He also assured depositors that there is no need to worry about the safety of their deposits and they will enjoy all the banking services as they did before the moratorium was slapped on the bank.

Mr Kumar ruled out a forensic audit of the lender's books but remained non-committal on the continuance of the present 5-6 per cent interest in deposits.

Prashant Kumar, a retired SBI banker, who will formally take over as the Chief Executive and Managing Director of Yes Bank on March 26, 2020, has said that he expects recoveries worth Rs 8,500-10,000 crore in the March quarter of the financial year 2019-20 itself as the provision of almost 72 per cent has already been made.

It may be recalled that Reserve Bank had imposed a moratorium on Yes Bank earlier this month, capping withdrawals at Rs 50,000 per depositor after it found that the new management is unable to raise the urgent core capital which had fallen much below the mandated level.

The moratorium will be lifted at 6 PM today, as per the reconstruction scheme notified and that it will be back to normal operations.

SBI is the major shareholder of Yes Bank now and other stakeholders include private lenders like ICICI Bank, HDFC, Axis Bank, Kotak Mahindra Bank, Bandhan Bank, Federal Bank and IDFC First. They have also invested in the private lender as per the reconstruction scheme announced by Reserve Bank.