22Mar, 2024
Congrats to PM Narendra Modi ji & Arun Jaitley ji for a historic breakthrough in resolving legacy issues of Banks. Lenders recovered almost entire principal loan of Bhushan Steel through Rs 36,400 cr transparent bid by Tata Steel and also got 12% stake in the company.‬ Liquidation value of Bhushan Steel was Rs 14,541 cr but creditors received almost 4 times the amount. This was possible due to the robust and transparent Insolvency & Bankruptcy Code brought by this Government.

For the first time such a large loan resolution has been achieved through upfront payment received by Banks through sale of a company. This is a record step towards resolving the legacy of unprecedented amount of bad bank loans inherited by this Government. The NPA resolution process is being done through a fair and transparent Insolvency & Bankruptcy Code helping boost both the banking sector & the economy. This has been recognised by International Credit Rating Agencies as well. With recovery of NPA’s, banks will now be in a position to offer affordable and more credit to major sectors of the economy especially the MSME sector. This will boost employment & the economy even more.

Government under leadershiip of PM Narendra Modi ji has been systematically cleaning the financial & economic mess left behind by the Past Governments.

Cleaning up banks & resolving NPAs is part of Swaksh Bharat.