New Delhi, Aug. 22 -- Public sector banks (PSBs) are losing market share to private and foreign banks in higher-value segments such as premium credit cards and global capability centres (GCCs), according to discussions at a finance ministry-organised banking conclave.

A paper prepared for the meeting also highlighted a decline in the share of current account and savings account (CASA) deposits in PSBs' total deposits over the past four years. Since CASA is a relatively low-cost source of funds, its decline could increase banks' reliance on higher-cost deposits and put pressure on margins, TOI reported.

Credit Cards

The discussions noted that PSBs remain under-represented in premium credit card segments, including corporate travel and e...