With Jet Airways stranded, banks mull steeper provisions

Banks may make accelerated provisioning towards their Jet Airways exposure from the quarter beginning April-June 2019, as the possibility of the grounded airline taking wings again looks bleak and they do not have much by way of collateral to fall back on.

With the efforts to find a resolution outside the Insolvency and Bankruptcy Code (IBC) process not yielding any result, banks on Monday decided to refer the airline to the National Company Law Tribunal (NCLT) to initiate corporate insolvency resolution process under the IBC.