{"id":1740,"date":"2024-03-29T14:11:22","date_gmt":"2024-03-29T08:41:22","guid":{"rendered":"https:\/\/lotusarise.com\/qna\/?p=1740"},"modified":"2024-04-03T07:14:34","modified_gmt":"2024-04-03T01:44:34","slug":"q-what-was-the-purpose-of-the-inter-creditor-agreement-signed-by-indian-banks-and-financial-institutions-recently","status":"publish","type":"post","link":"https:\/\/lotusarise.com\/qna\/upsc\/q-what-was-the-purpose-of-the-inter-creditor-agreement-signed-by-indian-banks-and-financial-institutions-recently","title":{"rendered":"Q. What was the purpose of the Inter Creditor Agreement signed by Indian banks and financial institutions recently?"},"content":{"rendered":"\n<ul class=\"mcq wp-block-list\">\n<li>To lessen the Government of India\u2019s perennial burden of fiscal deficit and current account deficit<\/li>\n\n\n\n<li>To support the infrastructure projects of Central and State Governments<\/li>\n\n\n\n<li>To act as independent regulator in case of applications for loans of Rs. 50 crore or more<\/li>\n\n\n\n<li>To aim at faster resolution of stressed assets of Rs. 50 crore or more which are-under consortium lending<\/li>\n<\/ul>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\"><strong>Answer: (d) To aim at faster resolution of stressed assets of Rs. 50 crore or more which are-under consortium lending.<\/strong><\/p>\n<\/blockquote>\n\n\n\n<h5 class=\"wp-block-heading\" id=\"notes-hd-66066c5d6691f\">Notes:<\/h5>\n\n\n\n<ul class=\"wp-block-list\">\n<li>An Inter-Creditor Agreement (ICA) is an&nbsp;<strong>agreement between one or more creditors (lenders), who have shared interests in a particular borrower.<\/strong><\/li>\n\n\n\n<li>The inter-creditor agreement is aimed at the&nbsp;<strong>resolution of loan accounts with a size of \u20b950 crore and above that are under the control of a group of lenders<\/strong>. It is part of the&nbsp;<strong>\u201cSashakt\u201d plan<\/strong>&nbsp;approved by the government to address the problem of resolving bad loans.<\/li>\n\n\n\n<li>The Intercreditor Agreement, a recommendation of the<strong>&nbsp;Sunil Mehta committee<\/strong>, aims&nbsp;<strong>to deal with bad loans as an attempt to speed up the Resolution of stressed Assets.<\/strong><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Answer: (d) To aim at faster resolution of stressed assets of Rs. 50 crore or more which are-under consortium lending. Notes:<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_kad_blocks_custom_css":"","_kad_blocks_head_custom_js":"","_kad_blocks_body_custom_js":"","_kad_blocks_footer_custom_js":"","_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"_kad_post_classname":"","footnotes":""},"categories":[1,3],"tags":[38],"years":[54],"class_list":["post-1740","post","type-post","status-publish","format-standard","hentry","category-upsc","category-prelims","tag-indian-economy","years-54"],"acf":[],"taxonomy_info":{"category":[{"value":1,"label":"UPSC"},{"value":3,"label":"Prelims"}],"post_tag":[{"value":38,"label":"Indian Economy"}],"years":[{"value":54,"label":"2019"}]},"featured_image_src_large":false,"author_info":{"display_name":"LotusArise","author_link":"https:\/\/lotusarise.com\/qna\/author\/team-lotusarise"},"comment_info":0,"category_info":[{"term_id":1,"name":"UPSC","slug":"upsc","term_group":0,"term_taxonomy_id":1,"taxonomy":"category","description":"","parent":0,"count":1269,"filter":"raw","cat_ID":1,"category_count":1269,"category_description":"","cat_name":"UPSC","category_nicename":"upsc","category_parent":0},{"term_id":3,"name":"Prelims","slug":"prelims","term_group":0,"term_taxonomy_id":3,"taxonomy":"category","description":"","parent":1,"count":1251,"filter":"raw","cat_ID":3,"category_count":1251,"category_description":"","cat_name":"Prelims","category_nicename":"prelims","category_parent":1}],"tag_info":[{"term_id":38,"name":"Indian Economy","slug":"indian-economy","term_group":0,"term_taxonomy_id":38,"taxonomy":"post_tag","description":"","parent":0,"count":225,"filter":"raw"}],"_links":{"self":[{"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/posts\/1740","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/comments?post=1740"}],"version-history":[{"count":0,"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/posts\/1740\/revisions"}],"wp:attachment":[{"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/media?parent=1740"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/categories?post=1740"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/tags?post=1740"},{"taxonomy":"years","embeddable":true,"href":"https:\/\/lotusarise.com\/qna\/wp-json\/wp\/v2\/years?post=1740"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}