100 stressed borrowers require debt reductions of 75 per cent or more, which only the government can force creditors to accept. The PAMC plan, as suggested by Acharya, could be for sectors such as metals, construction, telecom, and textiles, where the assets will have economic value in the short run. As per the plan, the banking sector may be asked to restructure about 50 large stressed exposures in these sectors by December 31, 2017. The NAMC plan could be viable for sectors where the problem is not just of excess capacity but of economically unviable assets in the near term. (This article has not been edited by DNA's editorial team and is auto-generated from an agency feed.)

Source: dna March 10, 2017 16:41 UTC