An Empirical Investigation Of The Relationship Between Recovery Management Practices And Npa Levels In Indian Banks

Abstract

Indian banks utilize the Insolvency and Bankruptcy Code (IBC) as a recuperation the board method to manage their NPA levels notwithstanding the Obligation Recuperation Council (DRT), the Sarfesi Act, and the Lok Adalat. Insolvency and bankruptcy procedures in India presently have a careful lawful design thanks to the IBC, which was executed in 2016. The Insolvency and Bankruptcy Board of India (IBBI) is an administrative body set up under the IBC to screen its application. Research shows that Indian banks' recuperation the board rehearses have worked on because of the IBC. Further developed recuperation rates and lower NPA levels have come about because of this time-restricted and loan boss driven goal process. The IBC has likewise helped accelerate the goal of insolvency cases, which is great for the Indian financial industry overall. As indicated by the review's outcomes, the DRT, the Sarfesi Act, Lok Adalat, and the IBC are crucial instruments for decreasing nonperforming advances at Indian monetary foundations. The general condition of the Indian financial industry will profit from more effective and fruitful NPA goal, which is conceivable with better recuperation the executives techniques.