National Asset Reconstruction Company Limited ( NARCL )

Solution

National Asset Reconstruction Company Limited ( NARCL ) has aggregated debt of around Rs 21,000 crore till March 2023, through acquisition of three stressed loans . NARCL, or the bad bank, has been set up as part of the resolution of stressed loans in the banking system .     In January  2023, Jaypee Infratech became the first large stressed account to be transferred to NARCL by lenders led by IDBI Bank . The company was among the 12 large accounts referred by the Reserve Bank of India ( RBI ) to the National Company Law tribunal ( NCLT ) in 2017 .    The total exposure of all the banks to Jaypee Infratech was over Rs 9,000 crore and IDBI Bank ’ s exposure stood at Rs 3,750 crore .