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      Question

      What is the minimum provision percentage on Doubtful

      Assets classified under IRAC norms (Doubtful for more than 1 year)?
      A 10% Correct Answer Incorrect Answer
      B 20% Correct Answer Incorrect Answer
      C 25% Correct Answer Incorrect Answer
      D 40% Correct Answer Incorrect Answer
      E 100% Correct Answer Incorrect Answer

      Solution

      As per RBI’s IRAC norms: • If a loan is Doubtful for more than 1 year, 40% provisioning is required on the secured portion. • The unsecured portion requires 100% provisioning.

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