The bank said it has received a communication from the Finance Ministry for a capital allocation of Rs 1,100 crore as part of turnaround linked capital infusion plan.
"All branches of Bharatiya Mahila Bank (BMB) will function as branches of the SBI from April 1. Customers, including depositors of BMB, will be treated as customers of SBI," the RBI said.
The combined employee strength of SBI after the merger will be 270,000, including 70,000 employees of the five associate banks.
Axis Bank has been under pressure over a sharp fall in third quarter profits along with Income Tax Department raids on some of its branches post-demonetisation.
IDBI Bank will get Rs 2,500 crore funding from the government, subject to regulatory approvals.
"As per the Finance Ministry, the merger of BMB with SBI has been approved. We are awaiting the date of merger. The effective date of merger will come in the notification," SBI Managing Director Dinesh Kumar Khara said.
The five associate banks will cease to exist as legal entities and become a part of SBI from April 1, but the various merger processes will start only after April 24.
Andhra Bank said it received a communication from government stating the bank was identified for capital allocation for 2016-17 as a part of turnaround-linked infusion plan.
With the merger of all the five associates, SBI is expected to become a lender of global proportions with an asset base of Rs 37 lakh crore or over $555 billion, 22,500 branches and 58,000 ATMs.
The Bharatiya Janata Party had in its UP election manifesto promised to waive farmers' loans if elected to power. The party and its allies won a whopping 325 seats in the 403-member house.
The finance ministry said the State Bank of India group already has 126 exclusive all-women branches across the country while the Bharatiya Mahila Bank (BMB) has only seven.
The panel has also recommended selling of non-core assets to fund the growth of the bank, asking the government to take necessary actions and submit a report to the panel in three months.
The Union Cabinet has already given in-principle approval to the merger of BMB with State Bank of India (SBI).
The former CAG, in a letter marked to Principal Secretary to Prime Minister Nripendra Misra, has also suggested a roadmap to wriggle out of the NPA problem.
In a regulatory filing to the stock exchanges, Dena Bank said it "has received a communication from Government of India vide its letter... dated March 16, 2017 informing inter alia capital allocation of Rs 600 crore as part of turnaround linked infusion plan."
HDFC Bank's personal loans are growing by 30 per cent, courtesy a quick disbursement product launched recently.
Public sector banks' gross NPAs have risen from Rs 5.02 lakh crore at the end of March 2016 to Rs 6.06 lakh crore in December 2016.
Ahead of the recently concluded assembly elections in Uttar Pradesh, the BJP had promised to bring in a loan waiver scheme for farmers in the state, if its voted to power.
The bank is willing to write off 40 per cent of the outstanding principal amount of the loan under the scheme, an official said, adding that the decision would be taken at the branch level.