India: RBI allows banks more time to exit assets under strategic debt rejig scheme

India: RBI allows banks more time to exit assets under strategic debt rejig scheme

RBI logo from the Bank's social media page. September 2015

The Reserve Bank of India (RBI) on Thursday announced changes in its strategic debt restructuring (SDR) scheme, allowing banks more time to divest their holdings in companies they take control of.

According to the revised guidelines, banks can upgrade an asset to the standard asset category if they divest at least 26% of the stake to the new promoter within the specified period of 18 months.

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