Vol. 6, Issue 10, Part I (2020)

Abstract
The issue of NPAs in the Indian Banking sector has become a matter of concern for the overall growth of the economy. NPA problem has far reaching effects not only on banks but also on the corporate sector, as companies are the main debtors which borrow to finance investment. This paper attempts to provide an overview of the prevailing NPA problem in India as well review the nature of prevailing NPAs while focusing on the key features of various resolution measures that has been taken to resolve the NPAs problem in India. A review of the past RBI and other regulators measures undertaken to handle the growing NPAs shows how the corrective efforts tackle the issue of NPA and are gradually yielding expected results and is also reversing the adverse trends. The asset quality of banks showed an improvement with the gross nonperforming assets (GNPA) ratio of SCBs declining. Introduction of IBC enables creditors to raise their default payment, thus shifting the recovery means from defaulter to creditors. This simply helps in solving the crisis instead of postponing it.