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News RBI

  • Oct 14, 2017
  • RBI: Additional provisioning for bankruptcy cases not ‘unusually large’

    Additional provisioning requirement for stressed accounts being referred for bankruptcy proceedings is “nothing unusually large” and capital inadequacy should not be the reason for providing under-provisioning by banks for these accounts, Reserve Bank of India (RBI) deputy governor NS Vishwanathan said on Friday.The comment of the deputy governor of the central bank came in the back drop of concerns expressed by the country’s banking sector after the RBI had directed that the banks would need to set aside up to 50% cover in the form of provisions for the cases referred for insolvency proceedings at the National Company Law Tribunal (NCLT).

    Source - http://www.financialexpress.com