The Indian government is planning to sell its stake in Axis Bank, according to the news report.

The government has set a price band of Rs 1,290-1,357 a share for selling a part of its stake in Axis Bank, as per media reports.

It holds a 20.7% stake in Axis Bank as on Dec. 31, 2013 via a trust fund called Specified Undertaking of the Unit Trust of India (SUUTI).

Shares of the bank declined Rs 29.3, or 2.11%, to settle at Rs 1,356.85. The total volume of shares traded was 240,840 at the BSE (Thursday).