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Finance Ministry to meet banks for stalled projects

Saturday, 18 Apr 2015
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The Finance Ministry has called a meeting of heads of public sector banks on 28 April to review stalled projects.


Large size stalled projects of infrastructure sector, including power, surface transport, steel, shipping, would come up for review in the meeting at Mumbai.


Concerned over rising bad loans in the infrastructure sector, a roadmap for clearing bottlenecks that hamper implementation of large projects.


A segment wise analysis of stalled projects would be done to understand the impediments and policy support required to review projects.


One of the major reasons for rising non-performing assets (NPAs) for PSU banks is non-implementation of infrastructure projects for reasons like, fuel linkage, environment clearance, land acquisition issue etc.


As per RBI data, Gross NPAs of the PSU banks have gone up to Rs 2,60,531 crore as on December, 2014.

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