Bad bank can't be supported by govt alone, says Arun Jaitley

FM said he would not like to get into a situation where eventually NPAs become a govt issue

Finance Minister Arun Jaitley on Friday said an institution to tackle non-performing assets (NPAs) of banks and over-leveraged companies could not be funded by the government alone through budgetary support. He, however, did not dismiss the idea of the body out of hand.

Interacting with representatives of industry chambers, two days after he tabled the Budget in the Lok Sabha, Jaitley said he would not like to get into a situation where eventually NPAs become a government issue and the whole thing has to be supported out of the Budget.

The Economic Survey for 2016-17 stated the country has been