Prudential norms on Income Recognition, Asset Classification and Provisioning pertaining to Advances - Clarifications - ఆర్బిఐ - Reserve Bank of India
Prudential norms on Income Recognition, Asset Classification and Provisioning pertaining to Advances - Clarifications
RBI/2021-2022/158 February 15, 2022 All Commercial Banks (including Small Finance Banks, Local Area Banks and Regional Rural Banks) excluding Payments Banks Madam/Dear Sir, Prudential norms on Income Recognition, Asset Classification and Provisioning pertaining to Advances – Clarifications Please refer to the clarifications issued in respect of Prudential norms on Income Recognition, Asset Classification and Provisioning vide circular DOR.STR.REC.68/21.04.048/2021-22 dated November 12, 2021 (‘Circular’). 2. In view of several queries received seeking certain clarifications, it is advised as under:
3. Paragraph 10 of the Circular stipulates that loan accounts classified as NPAs may be upgraded as ‘standard’ asset only if entire arrears of interest and principal are paid by the borrower. NBFCs shall have time till September 30, 2022 to put in place the necessary systems to implement this provision. All other instructions of the Circular shall continue to be applicable as per the timelines specified therein. Yours faithfully, (Manoranjan Mishra) 1 Circular No. DBS.Dir.OSMOS.No.3327/33.01.001/2013-14 dated September 11, 2013 (SCBs) |