180 bps more NPAs likely for NBFCs, says ICRA

The non-performing assets of non-banking finance companies are expected to increase because of the revised rules for recognition and upgradation of bad loans, the rating company said. It has projected the NPAs of NBFCs to increase by 160-180 basis points by the end of March 2022 as compared to a year ago. For housing finance … Read more

180 bps more NPAs likely for NBFCs, says ICRA

The rating company said the non-performing assets for NBFCs are likely to increase after the revised bad debt recognition and upgradation norms. It projected an increase of 160-180 basis points in NPAs for NBFCs by the end of March 2022 from the level of March 2021. NPAs of housing finance companies (HFCs) are expected to … Read more

All money taken from banks will be returned as the government is actively pursuing the cases of loan defaulters: Finance Minister Nirmala Sitharaman

Union Finance Minister Nirmala Sitharaman on Tuesday said all money taken from banks will be withdrawn as the government is actively pursuing the cases of loan defaulters, whether in India or outside the country. He said that the central government is working in close coordination with the Jammu and Kashmir administration to ensure that not … Read more

Broad Peak, Brescon plan to invest $300 million in Indian bad loan market

Singapore-based Broad Peak Investment Advisors and Brescon & Allied may be the latest in a series of investment vehicles targeting India’s bad debt market, joining hands to invest $300 million. The proposed partnership will consider buying assets or companies that have access to credit or are struggling to access alternative resources as bankruptcy proceedings become … Read more

Government made rules to release 75% of the amount stuck in arbitration in the construction sector

To address the liquidity issues facing the construction sector, the government has framed rules that would allow contractors to release 75 per cent of the amount against bank guarantees where a department has challenged an arbitral award. The Cabinet Committee on Economic Affairs (CCEA) in November 2019 allowed government departments to pay 75 per cent … Read more

Lenders report sharp rise in bad loan collections

ICICI Bank, Axis Bank and Punjab National Bank (PNB) have reported sharp growth in bad loan recovery in Q2, mainly due to improvement in retail collections which fell sharply in Q1 through the second wave of COVID-19 . Bankers and analysts said the recovery in recovery is another indicator of improving consumer sentiment and heralding … Read more