Indian companies want RBI to dilute notice banning debt recast

Electricity producers are worried that lack of debt restructuring will lead to 70-80 power companies shutting down

“Every time the RBI has made projections on inflation, the real figures (when they come) have been better,” he said.

According to a promoter of a telecommunications firm, the circular has been challenged by a number of companies in the Supreme Court and in high courts. “The circular said there needed to be 100 per cent voting for any debt-restructuring proposal. As none of the banks wants to take risk, fearing regulatory action, no proposal is getting cleared,” he said. 

In most cases, Life Insurance Corporation, Power Finance Corporation and Rural Electrification Corporation (REC) are not giving