Sources say Govt has green-lit Kotak’s bid for IDBI

It appears Kotak Mahindra Bank is the frontrunner to acquire the government’s stake in IDBI Bank. Senior Finance Ministry officials have indicated that the Reserve Bank of India has already given ‘fit and proper’ clearance to the shortlisted bidders. The Centre and LIC currently hold over 60 per cent of IDBI Bank, and this sale is part of a broader push to reduce public sector presence in banking. If the deal goes through, it would be a massive boost for Kotak’s retail and SME reach while marking one of the biggest privatization moves in recent years.