India needs to create a bad bank quickly: Arvind Subramanian
1 min read 22 Feb 2017, 04:52 PM ISTArvind Subramanian says addressing banks' bad loans is the top priority of the government, during a news briefing
Premium
New Delhi: India needs to create a bad bank quickly, the finance ministry’s top economic adviser said on Wednesday, supporting forthright views expressed by Viral Acharya, the new deputy governor of the Reserve Bank of India (RBI).
Chief economic adviser Arvind Subramanian, who has proposed setting up a public asset rehabilitation agency to fix the balance sheets of both struggling banks and indebted companies, said the government was in touch with the RBI on the matter.
Also read | Designing the bad bank of India
Addressing banks’ bad loans is the top priority of the government, Subramanian told a news briefing, adding that it was important for banks to get political cover to write down debts they are unable to recover.
Addressing concerns about a recovery in global oil prices, Subramanian said he was comfortable with crude at $65 per barrel.Reuters
"Exciting news! Mint is now on WhatsApp Channels 🚀 Subscribe today by clicking the link and stay updated with the latest financial insights!" Click here!
