Rescuing the financial sector

In the concluding part of the series, the author argues that a government with the courage to abrogate Article 370 must not shy away from the banking reform required

As I highlighted in my last piece, by 2007, the financials of the Indian banking system were robust again. The industry had a return on assets (RoA) of over 1 per cent, gross and net NPAs below 2 and 1 per cent, and a cost income ratio below 45 per cent. Good health prompted the government to re-enact the familiar cycle of pillage. This time to build infrastructure. The new instrument was public private partnerships (PPPs) where the private sector was to build 40 per cent of the $ 500 billion infrastructure target of the Eleventh Plan