Fear of probe agencies investigating bad loans left a deep scar on banking officials, raising their risk-averse nature to lending. RBI wants Kamath panel to take care of those fears.
State Bank of India filed an insolvency petition against Videocon. The TV maker filed an appeal to get back control, blamed India and Brazil for bad debt pile.
India’s nearly $1.7 trillion formal banking sector is coping with $210 billion of problem loans, and some regional banks have been ensnared in fraud scandals.
This is the game every nation is now learning to play. Some are finding new allies or seeing value among nations where they’d seen marginal interest. The starkest example is India & Europe.
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