Modi govt to push RBI to lift lending restrictions on some banks: Report

The Indian government will push its central bank to ease lending restrictions for some weak banks and review rules governing its functioning at a board meeting next month, people with knowledge of the matter said.

The members, including government nominees, will press for some of the weak banks to be removed from the so-called prompt corrective action list, particularly those ones that have been consistent in recovering outstanding debt, the people said, asking not to be identified as the plan is not public. There are 11 state-run lenders on the list, which curbs their ability to lend.

The proposals suggest another potentially