Prudential Guidelines on Restructuring of Advances by UCBs - আৰবিআই - Reserve Bank of India
Prudential Guidelines on Restructuring of Advances by UCBs
RBI/2008-09/436 |
UBD.PCB.BPD.Cir.No. 60 /13.05.000 / 2008-09 |
April 20, 2009
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The Chief Executive Officers of |
Dear Sir / Madam, |
Prudential Guidelines on Restructuring of Advances by UCBs |
Please refer to the Prudential Guidelines on Restructuring of Advances by UCBs enclosed to our circular RBI / 2008-09 / 403 UBD.PCB.BPD.No. 53 / 13.05.000 / 2008-09 dated March 6, 2009. |
4. Further, it is reiterated that the provisions required as above arise due to the action of the banks resulting in change in contractual terms of the loan upon restructuring which are in the nature of financial concessions. These provisions are distinct from the provisions which are linked to the asset classification of the account classified as NPA and reflect the impairment due to deterioration in the credit quality of the loan. Thus, the two types of the provisions are not substitute for each other. |
Yours faithfully, |
(Uma Shankar) |
Chief General Manager |