Finance Minister Arun Jaitley said that the public sector banks are expecting recovery of Rs. 1.8 lakh crore from the Insolvency and Bankruptcy code (IBC) proceedings and from outside those proceedings.
Speaking at a press briefing after an annual review meeting with the heads of the public sector banks, Mr. Jaitley said “the light at the end of the tunnel” was visible in the context of NPAs.
The Insolvency and Bankruptcy Code and NCLT proceedings were having a positive effect on recoveries and prompting promoters to pay their dues before the legal process began, the Minister said. The banks also said they expected credit growth to pick up over the year, he added.
“The public sector banks are expecting a recovery of about Rs. 1.8 lakh crore from the Insolvency and Bankruptcy Code (IBC) proceedings and from outside those proceedings,” Financial Services Secretary Rajiv Kumar said, a point reiterated by Mr. Jaitley.
“This year, and it’s still early days of the IBC, but already the impact is clearly visible,” Mr. Jaitley said.