IOB banks on resolution of NCLT cases to cut swelling NPAs

Indian Overseas Bank (IOB) is pinning hopes on resolution of stressed accounts registered with the National Company Law Tribunal (NCLT) to cut down on its swelling non-performing assets (NPAs).

The public sector bank has a total exposure of Rs 82 billion under NCLT in 24 accounts. This represents 21 per cent of its NPAs.

“If 50 per cent of the cases is resolved by the NCLT, it can bring down our NPAs by Rs 40 billion in the next three to four quarters. Most of the cases under NCLT are national assets. The demand for steel is growing and so