What is a bad bank and why are some people pushing for it ahead of Budget 2021?
What is a bad bank and why are some people pushing for it ahead of Budget 2021?
Prabhjote GillJan 19, 2021, 13:02 IST
Representative imageUnsplash
India’s upcoming budget may set out a framework for setting up a bad bank to handle the expected influx of bad loans post-pandemic.
According to the Reserve Bank of India (RBI), gross non-performing assets (NPAs) could balloon to 14.8% by September under the worst-case scenario.
A bad bank would allow regular banks to sell their bad loans and focus on bringing in new business.India’s government owned banks like State Bank of India, Punjab National Bank and Bank of Baroda have a huge amount of bad loans. Anywhere from 16.2% to 17.6% of all the money that these public sector banks have lent are unlikely to return or are under stress.
The coronavirus pandemic, which has killed 1.5 lakh people in India, has put the spotlight back on the country's healthcare spending. At just over 1 per cent of GDP, India's healthcare spending in past budgets has been abysmally low.
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Panchkula, January 3
Region’s largest career fest ‘Satluj Career Fest’ was organised by Satluj Public School, Sector 4, Panchkula (a part of Satluj Group of Schools, with 14 branches across India; the newest being in Jammu and Derabassi, with an upcoming campus in Kurali, New Chandigarh) with an aim of guiding the students of class IX to XII and their parents about various career opportunities. Key speakers at the career fest stressed that with many losing their jobs and uncertainty looming large, there is a need to develop entrepreneurial skills.
This year, the event was hosted virtually, leading to not only a pan-India, but international reach with student registrations from all over the world. Counsellors and foreign representatives from more than 500 universities, foreign and Indian. Over 5,000 students represented 100+ schools from India (including metros, tier 2 and tier 3 towns) and around the world during the career fest.
New Delhi: Indian Prime Minister Narendra Modi has praised an initiative by food traders in Dubai to promote Geographical Indication (GI) Tagged Kashmiri Saffron in the UAE. You will be delighted to know that after obtaining the GI Tag Certificate, Kashmiri Saffron was launched in a supermarket in Dubai. Now its exports will get a boost, Modi told Indians in his monthly radio address to the nation known as Mann ki Baat .
The Prime Minister said Kashmiri saffron is globally famous as a spice that has many medicinal properties. It has a strong aroma, its color is deep dark and its threads are long and thick which enhances its medicinal value. (It is also used to cook exotic South Asian and Arab culinary dishes.)