With gross non-performing assets (NPAs) in the banking system at a multi-year low of less than 3% as of March 2024 and expected to reduce further this fiscal, private ARCs face unique growth challenges due to limited supply of stressed assets resulting lower acquisitions.
ARCs have treaded cautiously to tap both corporate and retail assets based on opportunity and value, leveraging regulatory changes requiring them to invest lesser capital than earlier.
On the positive side, ARCs are seeing faster turnaround of recent acquisitions with restructuring as the dominant strategy for corporate assets and will see higher recoveries, driven by healthy demand outlook across infra sectors, especially real estate, roads and power. Retail loan pools, too, are seeing faster redemptions because of early settlements. The Insolvency and Bankruptcy Code, which has supported in resolution of ~Rs 10.60 lakh crore of debt, is also a key enabler for recoveries.
In this milieu, Crisil Ratings is organising a webinar where our experts will speak on:
Growth prospects and evolving business strategies for ARCs
Outlook on corporate and retail stressed assets
Trends in recovery of security receipts
Impact of the Insolvency and Bankruptcy Code and its effectiveness
The webinar will include a presentation by Crisil Ratings experts, followed by a panel discussion and a Q&A session.
Disclaimer: This event and its content are intellectual property and confidential information of Crisil. Any use of the same without written permission of Crisil is illegal and hence punishable. Recording the webinar in any form in full or part or copying, altering, distributing or streaming the webinar is strictly prohibited and violation will attract legal action.
