Pool more for CDR, promoters told

On October 30, RBI had announced decision to raise provisioning on standard restructured assets from 2% to 2.75%. The Mahapatra committee had suggested banks must provide for 5%, against restructured loans that are classified as standard, instead of the current 2%.

The CDR cell had in the current financial year received 83 references to the tune of over R50,000 crore. It received nine new referrals worth R14,100 crore in the month of October. According to ratings agency Crisil's estimates the loans restructured by Indian banks will stand at sharply to R3.25 lakh crore in financial year 2012-13. The majority of restructuring will be in loans to the state power utilities (SPUs), and the construction and infrastructure sectors.

Please read our terms of use before posting comments
TERMS OF USE: The views expressed in comments published on indianexpress.com are those of the comment writer's alone. They do not represent the views or opinions of The Indian Express Group or its staff. Comments are automatically posted live; however, indianexpress.com reserves the right to take it down at any time. We also reserve the right not to publish comments that are abusive, obscene, inflammatory, derogatory or defamatory.