NEW DELHI, Sept. 17 (Xinhua) -- In its ongoing efforts to clean the country's banking system, the Indian government announced the merger of three state-run banks on Monday.
The banks -- Dena Bank, Vijaya Bank and Bank of Baroda -- will be merged to create the third largest bank in the country, an official statement said.
"Merger of the three banks will make this the third largest bank of the country," Indian Financial Services Secretary Rajiv Kumar told the media.
Indian Finance Minister Arun Jaitley, who was also present at the press conference, said the government has suggested the banks to consider the proposal.
"However, no employee will face any service conditions which are adverse in nature. The best of the service conditions will apply to all of them," the minister added.
Cleaning up non-performing assets of the state-run banks has been one of Prime Minister Narendra Modi government's major economic reforms.
The State Bank of India is the country's largest lender.
