Letters to BS on speeding up execution of economic reforms for growth

The dismal performance is negatively impacting the health of the PSBs and their capacity to lend

With reference to “Stop attacking capital” (January 30), rather than looking for populist reforms, the government needs to speed up execution of economic reforms to accelerate growth as envisaged. Private capital flow for investment is shrinking because of the persisting stress in the banking sector. The proposed recapitalisation of public sector banks (PSB) and related reforms are crucial in driving growth of private investment, and therefore needs quick execution. Despite the use of various measures and tools to maintain the asset quality and recovery of the accumulated non-performing assets, the results on these counts are not encouraging. This dismal performance