Arun Jaitley says stressed bank assets a ‘concern’ for economy

Finance minister Arun Jaitley says the govt will make efforts to find resources to support debt-laden banks as bad loans have crimped them to offer new credit
Devidutta TripathySuvashree Choudhury
Finance minister Arun Jaitley said early days of goods and services tax (GST) going smoother than expected. Photo: Mint
Finance minister Arun Jaitley said early days of goods and services tax (GST) going smoother than expected. Photo: Mint

Mumbai: India will make efforts to find resources to support debt-laden banks to help them fund economic growth, finance minister Arun Jaitley told a meeting of bankers on Friday.

Jaitley said stressed bank assets have become a “concern” for the economy. Bad loans have crimped the ability of Indian lenders to offer new credit.

The finance minister said early days of goods and services tax (GST) going smoother than expected.

Growth in Asia's third-largest economy slowed to a three-year low of 5.7% in the quarter that ended in June, and Jaitley said on Wednesday that the government was looking for ways to speed it up. Reuters

PTI contributed to this story