Bankers will have to be more vigilant in monitoring a loan account while corporate will have to think twice before restructuring the loan with Reserve Bank of India planning tighten the debt restructuring norms.
A RBI working group on restructuring of loans suggested that the RBI should do away with regulatory forbearance for restructured assets, banks should refrain from converting debt into equity, seek higher sacrifice from corporates and insist on promoters guarantee even if restructuring is on account of external factors.
No comments:
Post a Comment