recapitalisation

DMPQ: . What is the recapitalisation plan for the banks? Discuss the implication of the plan. (Economy)

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Recapitalisation plan is a mechanism to deal with the problems of NPA in the financial institutions. It is one of the four R’s to address the issue of NPA’s.  In Oct,17 Centre has announced a 2.11 lakh crore recapitalisation plan for the public sector banks over the next two years. The recapitalisation plan is a … Read more DMPQ: . What is the recapitalisation plan for the banks? Discuss the implication of the plan. (Economy)

DMPQ- What are recapitalisation bonds? How recapitalisation bond woks?

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A government bond is an instrument to raise money from the market with a promise to repay the face  value at the maturity  date and a periodic interest. A bond issued for the purpose of recapitalisation is called recapitalisation bond.   Working of Recapitalisation bond: The government will issue recapitalisation bond, which banks will subscribe … Read more DMPQ- What are recapitalisation bonds? How recapitalisation bond woks?