HUDCO Aims to Become a Zero NPA Company in 18 Months: CMD
HUDCO’s Strategy to Clear Bad Loans
Housing and Urban Development Corporation (HUDCO) plans to become a zero Non-Performing Asset (NPA) company within the next 18 months. This goal was announced by its Chairman and Managing Director (CMD), Sanjay Kulshrestha, in New Delhi.
Settling Projects at NCLT and DRT
- HUDCO aims to settle projects worth approximately Rs 1,200 crore at the National Company Law Tribunal (NCLT).
- Furthermore, the company intends to settle projects worth Rs 400 crore at the Debt Recovery Tribunal (DRT).
By resolving these projects, HUDCO will have no bad loans in its records, making it a zero NPA company.
HUDCO’s Current NPA Status
Currently, HUDCO’s gross NPA stands at 3.56%, which is significantly lower than the average NPA ratio of 11.2% for other public sector banks.
HUDCO’s Initiatives to Reduce NPAs
HUDCO has been actively working towards reducing its NPA ratio by implementing various measures, such as:
- Enhancing its recovery processes
- Refining its credit appraisal system
- Closely monitoring its loan portfolio
With these efforts, HUDCO is optimistic about becoming a zero NPA company in the near future.
