In the article, “Don’t dither on bank recapitalisation” (May16), T T Ram Mohan notes that chief executive officers (CEO) were replaced at several banks when the US government rescued them from non-performing assets (NPA) by investing $245 billion in one go. He advises the Indian government to appoint the “right people” as CEOs in banks and follow a similar path as the US government.
Full capitalisation is risky in India because here the “wrong” bank managers are punished, if at all, for corruption and not for their inefficiency or carelessness. Thus, the ratio of gross NPA to gross advances
Full capitalisation is risky in India because here the “wrong” bank managers are punished, if at all, for corruption and not for their inefficiency or carelessness. Thus, the ratio of gross NPA to gross advances