The Vijay Mallya mess has thrown up deeper questions about the health of the banking sector and concerns on whether and why banks aren't going after defaulting borrowers with more aggression? Simultaneously, there is also a fear on the back of public anger with respect to bad loans, whether bankers will become extremely risk averse? Charan Singh, executive director of UCO Bank , says most of these borrowers don't have any cashflow and selling assets is not easy either. He also cites the example of the steel sector which is under severe distress. According to him, the situation is such that both buyers and investors are not there in the market. Hence, the only other option is to continue with existing managements, and sell non-core and personal assets. He says for SDR to be a success, a lot of different measures will have to be taken.
For more news visit us at
http://www.marketmagnify.com/services.php
No comments:
Post a Comment