In what could be a possible fallout of the Punjab National Bank (PNB)-Nirav Modi episode, the Reserve Bank of India (RBI) on Thursday said banks would have to advance a certain mandated amount as loan exposure while extending working-capital finance to borrowers.In what could be a possible fallout of the Punjab National Bank (PNB)-Nirav Modi episode, the Reserve Bank of India (RBI) on Thursday said banks would have to advance a certain mandated amount as loan exposure while extending working-capital finance to borrowers. “With a view to promoting greater credit discipline among working capital borrowers, it is proposed to stipulate a minimum level of ‘loan component’ in fund based working capital finance for larger borrowers,” the central bank said in its statement…
