The tragedy at YES Bank has been averted all depositors of the bank have been assured by the government that their money is safe, and the State Bank of India (SBI) has been asked to step in as a white knight but the crisis at one of India largest lenders is far from over. There work to be done in terms of recapitalising the bank; SBI is to hold a maximum of 49% in the bank (for which it will pay around Rs 11 n95 mask,760 crore), and existing shareholders are seeing a significant dilution in their holding to 11%, so other investors will have to be found to pump in around Rs 9 n95 mask,600 crore. While some State controlled companies and corporations will, no doubt, be conscripted to do this, the government should ensure that banking remains attractive to investors.

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