Pwc Official Says Cdr Not The Way To Handle Npas

The corporate debt restructuring (CDR) mechanism may not be the best route for banks and financial institutions to reduce their non-performing assets (NPAs), according to David Edmonds, lead partner, international advisory group, PricewaterhouseCoopers (PwC).

The finance ministry and the Asian Development Bank had asked PwC to examine the Securitisation Act and the asset reconstruction company (ARC) framework and suggest ways to strengthen the system including allowing foreign institutional investors (FII) to enter the market, which is not allowed at present.

Edmonds, currently on a visit to India, said the consulting firm is expected to submit its report in about six months.

 

Edmonds said,