Best of BS Opinion: PMC Bank crisis, stressed financial firms, and more

The lead edit explains why the 25 basis point cut in the policy rate is an appropriate call

An expanding scandal involving yet another cooperative bank, yet another realtor and yet another example of dodgy lending without adequate board oversight dominates the opinion pages today. Kanika Datta sums up the views.  

PMC Bank’s implosion may not create systemic instability but the triumvirate of banks/cooperative banks, shadow banks and realty firms can play havoc with the Indian financial system, says Tamal Bandyopadhyay. Read here

The resolution of stressed financial firms is a key bottleneck in the economy. For the larger non-banking financial corporations involving institution debtors, the process under the Insolvency and Bankruptcy code would serve the purpose.