Non-performing assets in steel will disappear: Union steel secretary

Aruna Sharma says the steel sector's bad loans comprised 28% of the NPAs of the banks

The government’s move to address the issue of non-performing assets (NPAs) in the banking system is likely to benefit the steel sector in a major way, with the ministry of steel expecting the NPAs of the segment “disappearing” by the end of 2017-18.

Banks are expected to offer a combination of features of various restructuring schemes to help companies move out of the distress.

Speaking to Business Standard, Aruna Sharma, Union steel secretary, said once the "re-phasing process was complete, the NPAs itself will disappear" and "new lending" would start.

According to a report of CARE Ratings, the