Page-2 of Bad Loans
Insolvency and Bankruptcy Code (IBC)
The passage of the Insolvency and Bankruptcy Code (IBC), 2016 is one of the biggest insolvency reforms in the economic history of India. It was introduced by the Central Government to sort out claims related to the insolvent companies in ..
RBI permits ARC to buy financial assets from Peers
The Reserve Bank of India (RBI) has permitted Asset Reconstruction Companies (ARCs) to acquire financial assets from peers i.e. other such entities. However, RBI, the apex banking regulator cleared that all such transactions have to be settled in cash. Key ..
Month: Current Affairs - June, 2019
Increase in Quantum of MUDRA Bad Loans
An RTI reply has shown a spike in the quantum of bad loans disbursed under the ambitious Pradhan Mantri Mudra Yojana (PMMY). Extracts from the RTI Reply Gross NPAs under MUDRA rose by 68.7 per cent to Rs 16,480.87 crore ..
RBI Proposes New Norms for Debt Resolution
The Reserve Bank of India (RBI) has proposed new norms under Prudential framework for resolution of stressed assets for debt resolution after the earlier one was struck down by the Supreme Court. New Norms New norms are applicable for loan ..
IBC and Reduction in Gross NPAs of Banks
The biggest problem of the Indian Banking System is Non-performing Asset (NPA). The report of the Crisil has stated that the gross NPA is estimated to have declined to 10 per cent in end-March 2019 from 11.5 per cent a ..
RBI tweaks NPA Disclosure Norms
The Reserve Bank of India (RBI) has brought changes to the bad loan divergence rule. The Bad loan divergence practice mandated by RBI aims at improving transparency in asset classification. The Changes brought in by the RBI are: NPA Disclosure ..