ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

A+| A| A-

Resolution of Weak Banks: The Indian Experience

This paper analyses the theoretical framework for bank resolution, general methods of br and relevant crosscountry experience. The primary objective, however, is to estimate the cost of br in India based on three recent compulsory mergers and two voluntary mergers. Evidence suggests that barring one compulsory merger, all other mergers yielded value. Compulsory mergers were found to be costlier than voluntary mergers, though the overall cost of the three compulsory merger cases was, by and large, neutral.

SPECIAL ARTICLE

Resolution of Weak Banks: The Indian Experience

Prashant Saran, Tulasi Gopinath

This paper analyses the theoretical framework for bank resolution, general methods of BR and relevant crosscountry experience. The primary objective, however, is to estimate the cost of BR in India based on three recent compulsory mergers and two voluntary mergers. Evidence suggests that barring one compulsory merger, all other mergers yielded value. Compulsory mergers were found to be costlier than voluntary mergers, though the overall cost of the three compulsory merger cases was, by and large, neutral.

Dear Reader,

To continue reading, become a subscriber.

Explore our attractive subscription offers.

Click here

Back to Top