RBI increases provisions for ‘yet to fail’ CDR accounts

The loan recasts of several firms failed this year with the involved amount for the first eight months of FY16 estimated at Rs. 22,303 crore.

Reserve Bank of India has asked lenders to increase provisioning for accounts that may not have yet failed corporate debt restructuring (CDR), according to reports.

Report says that the loan recasts of several firms  failed this year with the involved amount for the first eight months of FY16 estimated at Rs. 22,303 crore.

Earlier, RBI governor Raghuram Rajan stated that he would like to see banks clean up their books by March 2017.