14 Private banks were nationalised on 19th July 1969 by Prime Minister Indira Gandhi. All the banks grew in size and provided the back bone for the banking sector. More banks were nationalised later. It was these banks which helped the country to tide over the 2007 world recession.
Modi government has merged many of these nationalised banks reducing them from 26 to 12. This is a step towards reprivatisation of the banks as in the case of many PSUs.
A mighty struggle of the workers and the political parties is required to stop the bank privatisation.