evergreening

RBI puts curbs on 2 Edelweiss companies

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RBI puts curbs on 2 Edelweiss companies

MUMBAI: The RBI has placed restrictions on two companies of the Edelweiss group – ECL Finance and Edelweiss Asset Reconstruction Company (EARCL) – over ‘evergreening‘ stressed loans.Evergreening of loans is the practice where lenders extend additional credit to borrowers who cannot repay their existing loans. ECL Finance offers corporate finance, loans against property and securities, … Read more

AIFs: AIFs may aid roll-over of stressed loans: Reserve Bank of India report

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AIFs: AIFs may aid roll-over of stressed loans: Reserve Bank of India report

NEW DELHI/MUMBAI: The RBI’s recent regulatory actions on regulated entities investing in alternatives investment funds (AIFs) are meant to check evergreening and check possible spillover effects on the financial system due to growing linkages between various actors in the system. AIFs are pooled investment vehicles that can operate in India as an infrastructure fund, venture … Read more