The Rs2.1 trillion recapitalisation into PSU banks has been well received by rating companies, despite its unconventional structure. Photo: MintHong Kong: After three years of hand-wringing, India has finally done the right thing by its struggling banks. If that’s all it takes to revive credit growth languishing at a 25-year low, then it’s a bargain. India’s credit growth is at the lowest in 25 yearsForeigners have poured $22 billion into Indian fixed-income markets this year. That begs the question: Were broken bank balance sheets in India really holding back supply of fresh credit, or is lackluster loan demand the real culprit?

Source: Mint October 25, 2017 10:18 UTC