Agartala/Guwahati, Feb 11 (IANS): Banking services have been severely affected in the northeastern region for the second day Tuesday as most of the major banks were closed due to employees' two-day nationwide strike.

The strike is to protest proposed banking sector reforms and to demand revision of wages.

"More than 10,000 bank employees belonging to over 2,000 nationalised and private bank branches in the seven northeastern states took part in the strike, opposing the proposed amendments of the banking laws," said United Forum of Bank Unions (UFBU) spokesman Sushobhan Datta Majumder.

Majumder told reporters in Agartala: "The proposed restructuring in the banking sectors is expected to be undertaken aiming at mergers, acquisitions and outsourcing of routine activities of Indian banks and to allow foreign banks and investors in these activities and banking managements."

The UFBU, the umbrella organisation of five employees unions and four officer unions of state-owned banks, has been observing the strike after its talks with the Indian Banks Association failed recently in New Delhi.

"The two days' (Monday and Tuesday) bank strike is not for the interest of the employees alone, the agitation is to protest anti-nation policies of the central government and to protect the Indian banks from the foreign controls," Majumder said on the sidelines of the sit-in demonstration of the banks employees in Agartala.

The banking employees have also been protesting outsourcing of non-core activities by the authorities.

Government and foreign exchange transactions were also affected.

Almost all Automated Teller Machines (ATM) of nationalised and private banks were closed in the northeastern states, adding to the troubles being faced by the banking customers.