Rs. 30,000cr might be recovered from resolution under IBC: SBI
State Bank of India, the country's largest lender, expects to recover around Rs. 30,000cr from the resolution process under the Insolvency and Bankruptcy Code (IBC) during the current fiscal, an official said. From the two stressed assets' list referred for resolution under IBC by the RBI, the bank's total exposure was around Rs. 78,000cr, Pallav Mohapatra, DMD (stressed assets resolution group) of SBI said.
SBI's total NPAs stood at Rs. 2.20 lakh crore
The bank had been able to recover Rs. 8,500cr from the Bhushan Steel-Tata Steel deal taking a haircut of 30%. Mohapatra said from the Electrosteel-Vedanta deal, SBI expects to recover Rs. 6,000cr. The bank's total NPAs stood at Rs. 2.20 lakh crore. He added SBI expects to recover another Rs. 10,000cr from the one-time settlement, sale to ARCs, and some from outside NCLT.
Mohapatra says no dent in SBI profitability
The bank had filed 250 cases under IBC with a total exposure of Rs. 95,000 crore. "Whatever stress is there has been recognized. We don't expect a recovery of the full amount," Mohapatra said. He added that there will be no dent in the profitability of the bank as adequate provisioning had been made for haircuts which is unavoidable.
