UP Govt to lenders: You can bank on us for bad loan recoveries

With banks raising concerns over difficulties in loan recovery in Uttar Pradesh, Chief Minister Akhilesh Yadav today assured them active cooperation of the state government in their efforts to recover bad loans.
At a meeting with Yadav, the banks also promised to positively consider the viable investment proposals from industries in the country's most populous state.
"There is a general concern among bankers about recovery of NPAs from UP. Recovery does not happen and even if we have the recovery order, borrowers are not paying up. The local police or district machineries are not enforcing the order," Bank of India Executive Director R P Marathe said.

He was talking to reporters after meeting Yadav and other state government officials here today during an investor summit.
Yadav held a meeting with heads and senior officials of various banks, including SBI, HDFC Bank, IDBI Bank, Union Bank and Bank of India, among others.
Marathe said Yadav has assured banks all support in faster resolution of bad loans in the State.

"The Chief Minister said he has issued strict orders to district authorities to cooperate in bad loan recovery," he added.
Echoing similar views, IDBI Bank Managing Director and CEO Kishor Kharat said the Chief Minister has assured the banks full support in loan recovery.

To Yadav's call to bankers to help Uttar Pradesh in industrialisation and job creation, the bankers assured him of providing financial assistance to the industrialists who want to set up a viable project in the state.
"If an industrialist wants to set up a factory there, he should approach us. We will look into the viability of the project and take a decision on funding it. Once an entrepreneur comes to us, then supporting him is our job," Marathe added.
At today's investor conclave, the UP Government received investment commitments worth Rs 33,000 crore from companies such as LG, Reliance Jio, Idea Cellular and ITC, among others.