NARCL gets Centre's blanket guarantee worth Rs 15,300 crore: Report

The banks will now be able to rely on government guarantees on the stop security receipts (SRs) issued by the NARCL during the liquidation proceedings

The National Asset Reconstruction Company (NARCL) has been given a blanket guarantee worth Rs 15,300 crore by the Centre, a report in the Economic Times (ET) said. The banks will now be able to rely on government guarantees on the stop security receipts (SRs) issued by the NARCL during the liquidation.

"The guarantee gives banks the option to fall back on an instrument in case recovery is not as expected. Senior NARCL officials are already in Delhi to sign the documents and activate the guarantee," a person aware of the matter told ET. 

The guarantee will be valid for five