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Working Group to review the existing guidelines on restructuring of advances and align them with the guidelines on CDR Mechanism

DBOD.No.BP. 1316 /21.04.132/2006-07

April 23, 2007

All Commercial Banks
(excluding RRBs & LABs)

Dear Sir,

Working Group to review the existing guidelines on restructuring of advances and align them with the guidelines on CDR Mechanism

Please refer to para 174 of Annual Policy Statement for the Year 2006-07, wherein it was proposed that a working group will be constituted to review and align the existing guidelines on restructuring of advances (other than under CDR mechanism) on the lines of provisions under the revised CDR mechanism. Accordingly, a working group comprising members from commercial banks, Indian Banks' Association (IBA), and the Reserve Bank was constituted.

2. The Group has since submitted its report which is placed in public domain and will be open for comments for a period of two weeks from the date of this letter. Comments on the recommendations of the Group may be addressed to Chief General Manager-in-Charge, DBOD, RBI, 12th floor, Shahid Bhagat Singh Marg, Fort, Mumbai – 400 001 (Fax – 91-22-22705691). The comments may also be sent by e-mail.

Yours faithfully,

(Prashant Saran)
Chief General Manager-in-Charge

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