In the first list of 12 cases referred to the National Company Law Tribunal (NCLT) by the central bank, Punjab National Bank has an exposure in 9 of them while in the second list, it has lent to 20 out of 28 companies with an exposure of Rs65 billion. Photo: Pradeep Gaur/MintNew Delhi: Punjab National Bank (PNB), India’s second-largest public sector lender, will be able to avoid massive losses after the government forced delinquent borrowers to repay loans or face liquidation proceedings under a new law. India’s central bank has asked banks to resolve bad loans at 40 of the biggest defaulters within a year. On its part, the government will infuse Rs2.11 trillion ($33 billion) into cash strapped banks to rescue them. State-run banks account for almost 90% of all non-performing loans in the South Asian nation, according to Credit Suisse Group AG data.

Source: Mint January 01, 2018 06:45 UTC