UPDATE 1-India govt to move bank, pension bills in Aug

(Recasts, adds quotes, industry views)

NEW DELHI, July 25 (Reuters) - India's government may seek parliamentary approval in August for legislation on pension reform and voting rights in private banks, a minister said on Friday, in a sign it is looking to move ahead on stalled reforms.

The pension bill proposes letting foreign funds hold a maximum 26 percent in joint ventures with Indian firms. The banking bill aims to raise foreign investors' voting rights to the level of their shareholding in private Indian banks.

"The pension bill and the banking regulation bill to raise voting rights in private banks are already in the house," Junior Finance Minister Pawan Kumar Bansal told reporters.

"I suppose we should be able to take them up in monsoon session," Bansal said. The monsoon session starts in August.

At present foreign investors can hold up to 74 percent of a private local bank but their voting rights are capped at 10 percent, a major deterrent for investors trying to gain management control.

The two bills were introduced in parliament three years ago but stiff opposition from the government's communist allies prevented the legislation from moving ahead.

This month the communist parties withdrew support over a nuclear energy deal with the United States, triggering a confidence vote on Tuesday which the government won.

Bansal said the fundamentals of state-run banks were strong but higher interest rates could have affected their profit growth in the April-June quarter.