Bandhan Bank shines bright

Bandhan Bank is a very bright star today morning. The stock, which had closed on Friday at Rs.316.10, opened today at Rs.319 and went up to an intraday high at Rs.338.50, not too far from its 10% UC of the day at Rs.347.70.

The stock is up after the Assam govt signed the much-awaited agreement with microfinance institutions (MFIs) to regularise stressed borrowers and repay the entire loans of highly stressed borrowers.

And to reward borrowers who did not default, the Assam Govt said that it will repay each account with Rs.25,000 or the loan amount, whichever is lower to the MFIs.

This exercise is to cost the Assam Govt Rs.8250 crore.