The finance ministry has asked public sector banks to disclose their exposure to forex derivatives and structured products.
The move comes even as Bank of India on Wednesday said its corporate clients will suffer mark-to-market losses of around Rs 125 crore. It has 34 clients with 74 derivative transactions.
Last week, State Bank of India said its clients may incur MTM losses of up to Rs 700 crore at the end of March 2008.
Several small- and mid-sized companies have dragged banks to court alleging losses due to mis-selling of exotic derivative structures.
Sources familar with the developments said issues related to "undisclosed liabilities" will be discussed threadbare by public sector bank chiefs during their meeting with Finance Minister P Chidambaram on Thursday.
© 2025