As the troubled private lender Yes Bank nears the day when the moratorium gets lifted, the bank seems to be way out of trouble and going back to normalcy. Having the reconstruction scheme put in place, Yes Bank shares saw a huge rise in the past couple of days.
Last week, when the Reserve Bank of India (RBI) announced a moratorium to be imposed on the troubled private bank, Yes Bank was already having a tough time. As the moratorium came into effect, the customer’s panic was evident, as restrictions of withdrawal of not more than ₹50,000 per individual were announced.
The State Bank of India (SBI) and other banks joined hands together to help the private lender out of its critical state. Soon after, the State Bank of India (SBI) came up with a reconstruction scheme 2020, and after the nod of approval given by Finance Minister Nirmala Sitharaman, Yes Bank share saw an instant rise.
However, within a few days of the moratorium being imposed, the Reserve Bank of India (RBI) also confirms the moratorium to be lifted by the 18th of March. A couple of days before the moratorium gets lifted, on Monday, 16th March, Yes Bank shares jumped up to 45%.
The Yes Bank shares further rose another 58% on Tuesday, as this records the third consecutive day the troubled private lender saw a rise in their shares. Within seven sessions, Yes Bank shares surged over 1000% rising from its previously destructive low. On 6th March, Yes Bank shares hit a lifetime low of 5.50%, from where recovering seemed an uncanny option.
With the revised dates of Yes Bank services to be restored, on Tuesday, announced that all it’s ATMs and banking sectors to be loaded with enough cash meeting requirements for now. During the moratorium was in effect Yes Bank recorded that, only ⅓ of its customer base to have withdrawn ₹50,000.
18th March has been scheduled for Yes Bank to resume its services for the public from 6 pm onward, with only a few restrictions in place. Rating agency Moody upgraded the bank’s ratings by a notch and its outlook to positive from negative. With all the positive outcomes out of the reconstruction scheme, 2020, Yes Bank is all set to get back to normalcy.