New Delhi [India], Jul 23 (ANI): Union Finance Minister Piyush Goyal on Monday said that the signing of the Inter-Creditor Agreement (ICA) by the public and private sector banks as well as foreign banks for the effective resolution of assets is a `huge step` for the entire banking federation.
Attending the National Traders' Conclave organised by the Confederation of All India Traders (CAIT) at the Constitution Club in the national capital, Piyush Goyal said, "it's a historic day today."
Almost all the public sectors banks--two or three of them still requiring the approval which is expected in three or four days-- and one or two private sector banks have joined ICA, according to Goyal.
"But almost the entire banking system and prominent NBFC like REC, PFC are all joining the interbank creditor arrangement which has held back fast and effective resolution of assets for a decade in the past," said Goyal.
"There was often occasion that a good resolution plan which could have helped save hundreds and thousands of job which in turn could have helped saved national assets created which could have helped bank recover large amounts of loan who are held up by one-two creditors for months thereby eroding value of the banking system," he added.
Goyal said that this Interbank-Creditor Arrangement, which was drawn up by the bank themselves, is truly a reflection of bankers' resolve to collectively find a solution to the problems of the banking sector.
Goyal further thanked Prime Minister Narendra Modi and Union Minister Arun Jaitley for their combined effort to make it possible.
"Thanks to the efforts of the government led by Narendra Modi and Arun Jaitley that we finally have the banks recognising the importance of working as a team, to collectively find solutions to the banking problems and ensuring them orderly credit flow in the future," he said.
Meanwhile, reflecting on the profiteering complaints under GST, Piyush Goyal said that he has instructed the anti-profiteering departments to look into the matter.
"I have already instructed the department which looks after anti-profiteering.The directorate general will ensure that either the rates should have come down on July 1, 2017, or should come down now. They were continuously demanding reduction in the GST rates so that the prices should come down," he said.
While inaugurating the National Traders' Conclave organised by the Confederation of All-India Traders in New Delhi earlier today, Union Home Minister Rajnath Singh had said according to a survey by a consultancy film, India was ranked ninth among the world's top 10 economies in the year 2014, and today we have left behind France to reach the sixth position. (ANI)
This story has not been edited. It has been published as provided by ANI