Yes Bank crisis: FM's assurance is right, depositors' money not at risk, says SBI chairman

Kumar, who heads the bank which is set to buy 49% stake in Yes Bank, also said the crisis-hit bank's valuations are at Rs. 2500 crore.

"SBI has the size and credibility," he said.

Reacting to the Yes Bank crisis, Sitharaman on Friday assured all depositors that their money was safe.

Sitharaman said, "The RBI is fully ceased of the matter and has assured they will give a quick resolution. I want to assure every depositor that their money shall be safe.

Their moneies are safe. I'm constantly in contact with the RBI and the steps that are taken are taken in the interest of depositors, bank and economy. We are fully of ceased of the development."

In a major crisis for Yes Bank, the government on Thursday imposed a withdrawal limit of Rs 50,000 for depositors of the beleaguered private bank.

A notification, issued by the finance ministry on Thursday evening, said the limit will stay in effect till Apr 3, 2020.

The restriction has been imposed as a part of an order of moratorium issued by the government which also stayed the "commencement or continuance of all actions and proceedings" against the bank.

However, the limit will have few exemptions likes in cases of medical emergency, higher education, marriage and unavoidable emergency, the notification mentioned.

Meanwhile, the bank's board has been superseded for a period of 30 days "owing to serious deterioration in the financial position of the Bank", the RBI had said in a separate statement.

Former SBI CFO Prashant Kumar has been appointed as administrator for Yes Bank.

Reserve Bank of India (RBI) governor Shaktikanta Das on Friday said the crisis-hit Yes Bank will be revived by the country's central bank very "swiftly" and "fast". 

Yes Bank is facing a major crisis to raise capital to sustain its operations, after being hit by bad debt.