Indian banks have shifted towards the retail market in recent years in response to a rise in soured corporate loans.
The centre has infused Rs 2 lakh crore as capital into various banks during the past three years.
Bankers have blamed lax regulations and said some bank officials were working in league with fraudsters.
Speaking on the bank's Non-Performing Assets, the NABARD chief said that the bank's NPA has reduced last year.
As of June 30, total stressed assets on the books of Indian banks were at 9768.47 bn rupees down from 10,672.29 bn rupees.
Government may call it a merger but in reality it is cold-blooded murder of six banks,” a release by the bank unions said.
Public sectors bank branches in urban areas of the country are, however, operational as officers these banks are not part of strike.
FM said that banks have been asked to provide bill discounting facility to the MSME sector against payments due from the large corporates.
The foreign shareholding in the small finance bank would be as per the extant FDI policy for private sector banks.
RBI increased loan exposure limit of banks to a single NBFC from 15 per cent to 20 per cent.