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India needs a bad bank to clean up bad loans

India needs a bad bank to clean up bad loans

Friday, March 3, 2017, 6:40 PM

Ratings companies like Fitch Ratings, CARE Ratings, Alvarez and Marsal have come out in favour of setting up a state-backed ‘bad bank’ to tackle India’s ballooning stressed assets problem. According to Fitch analysts, a centralized restructuring asset manager could take charge of the most complex and largest distressed cases, and make politically tough decisions to reduce debt.
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