RBI's revised framework on stressed assets resolution hits IOB bottom line

Following the revised framework, bank has made a provision of Rs 7.99 bn towards specific restructured accounts

Indian Overseas Bank's net loss has widened to Rs 36.06 billion during the quarter ended March 31, 2018, from Rs 6.46 billion during the same quarter last year, owing to higher provisioning as per the revised regulatory framework by RBI.

The increase in losses is mainly due to provisioning requirements, including higher provisions as per RBI guidelines on revised framework on Resolution of Stressed Assets, the bank said.

Following the revised framework, the bank has classified specific restructured accounts in accordance with extant Income Recognition and Asset Classification (IRAC) norms and made a provision of Rs 7.99 billion towards such accounts during