CEA Nageswaran pitches for MSME-specific approach to NPA classification norms

V Anantha Nageswaran emphasized the need to revise non-performing asset classification norms for micro, small and medium enterprises. He highlighted that existing norms do not consider diverse cash flow cycles and working capital requirements. The Chief Economic Advisor pointed out that a uniform global framework is unsuitable for India’s business practices. Additionally, he suggested reducing compliance costs for MSMEs to...