RBI Revises Norms on Government-Guaranteed Security Receipts:
The Reserve Bank of India (RBI) has introduced new guidelines for Government of India-guaranteed Security Receipts (SRs) issued by Asset Reconstruction Companies (ARCs). These regulations aim to differentiate sovereign-backed SRs from ordinary SRs, providing banks with greater flexibility in provisioning while ensuring stricter capital discipline. The move is expected to streamline bad loan resolutions, enhance investor confidence, and strengthen financial stability.