Monday, June 04, 2007

 

Prudential norms on Income recognition, Asset Classification and Provisioning pertaining to Advances

RBI Circular DBOD No. BP.BC.76-21.04.048-2006-07 dated 12 April 2007
Prudential norms on Income recognition, Asset Classification and Provisioning pertaining to Advances
The RBI has directed all scheduled commercial banks that in case of infrastructure projects to be financed by them, the date of completion of the project is to be clearly spelt out at the time of financial closure of the project and if the date of commencement of commercial production extended beyond a period of one year after the date of completion of the project, as originally envisaged, the account should be treated as sub-standard.

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