Indian Bank will also get Rs 2,500 crore of capital infusion from the government as part of the upfront release of Rs 70,000 crore capital for PSU banks. Padmaja Chunduru, managing director and chief executive at Indian Bank, said in a statement on Sunday that the merger of Indian Bank and Allahabad Bank will create a robust amalgamated entity with a pan-India presence. "Indian Bank currently has a strong presence in South India, whereas Allahabad Bank is present in northern and eastern India. This will also enable major scaling up of both the banks' business due to complementary networks since currently both use the same CBS platform (BaNCS), thereby enabling the quick realisation of gains," Chundru said.