Introduction Banking and financial institutions are the backbones of finance sector of an economy. The well being of such institutions is extremely important for the capital to flow into the economy as their two-way functionalities i.e. accepting deposits and lending. These are the channels for capital flow. However, clogging of these channels endanger the entities […]
What is Non-Performing Asset or NPA? Non-Performing Assets or NPA, as the name suggests, assets which are not performing. Loans given by the banks are assets for the banks. If the borrower who has taken a loan from a bank does not repay the principal amount and interest within the agreed time, then such loan […]
Whenever a company gives any loan, guarantee or security in favour of any other company or a person it can be termed as inter-corporate loans and guarantee or investment in other company. Inter-corporate guarantee means security or assurance given by one company for debt taken by another company or a person(s). The loan given by […]