RBI Governor Raghuram Rajan will explain the nitty-gritty of the Rs 2.55 lakh crore non-performing assets (NPAs) of public sector banks (PSBs) to members of the Parliament’s Public Accounts Committee (PAC) on November 6. Rajan, whom the PM has described as a ‘good teacher’, will also take questions from the members.
Earlier, Revenue Secretary Hasmukh Adhia and PSB chiefs were summoned by the panel to present their views on the vexed issue. It seems the PAC is not convinced by the arguments of both PSB chiefs and the Revenue Secretary.
Even though an RBI deputy governor has already briefed the committee, it wants the Governor to explain the sum and substance of the issue that has come to undermine the performance of the PSBs. The committee is said to be furious with PSB chiefs for arguing that publishing the names of the directors and owners of companies with bad loans could hurt investor sentiment.
Report: M K Shukla (Editor)