PMO steps in to resolve steel companies' bad debt woes

The total debt of these companies is around Rs 1.5 lakh crore.

With banks reluctant to take any action on the debt recast plans of top steel companies, the Narendra Modi government is stepping in to sort out the issues. 

Banking sources said the project monitoring group of the Prime Minister’s Office, along with the finance ministry, was working on a fresh package for top steel companies and also for the top 40 accounts that were under stress due to various external reasons such as the cancellation of licences. 

Companies such as Essar Steel, Jindal Steel and Power, Electrosteel Steels, Bhushan Steel and Monnet Ispat are in a queue to get a debt recast