RBI to meet banks shortly to discuss bad loans

The Reserve Bank of India will meet banks on February 29 or March 1 to discuss the bad loans situation in the banking industry, Deputy Governor K.C. Chakrabarty said on Friday.

Indian banks have been witnessing higher delinquencies following the slowdown in growth, prompting the central bank to meet bankers to gauge any potential systemic risks to the banking system.

At its January policy review, the RBI said it will meet banks in February to discuss loan restructuring and the bad loans situation.