Bad Bank Flashcards
The guarantee program costs how much to the government
Rs 30,600 crores
Non Performing Assets worth ___ will be taken over
Rs 2 lakh crores
The stressed assets will be sold in the market by ____
India Debt Resolution Company Ltd
First bad bank in the world
US based Mellon bank , in 1988
Gross NPA’s of commercial banks are likely to cross how much rupees by March 2022
Rs 10 trillion ( report by Assocham and Crisil , sept 2021 )
What is the threshold days to classify non payment of interest on a loan as a Non Performing Asset ( NPA )
90 days ( 3 months )
Why is interest charged by a bank more than the interest given to depositers
Because the balance between interest income and income paid is the profit earned by the bank
Who shall acquire the NPAs from banks
National Asset Reconstruction Company ltd
Under which Act has the bad bank been included
Companies Act 2013
% breakup of acquisition by NARCL
15% cash and 85% security receipts
NARCL has applied to the ___ for license as an asset reconstruction company
Reserve Bank of India
PSBs own how much % of NARCL and IDRCL
51% in NARCL and 49% in IDRCL
Time period for which the government security shall be valid
5 years
Fully provisioned assets of worth ____ shall be expected to be transferred to NARCL
Rs 90,000 crores
How many bad banks exist in India already
28 firms
