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de-stressing the stressed assets:
@nsitharaman Ji,
1. Convert stressed debt into zero-coupon bonds
2. List them on exchanges, compulsorily
3. Put life into bond trading in India. High time we get over the 1992 scam pain.
4. Allow FPI investments in all zeros.
1/n
@nsitharaman Ji,
1. Convert stressed debt into zero-coupon bonds
2. List them on exchanges, compulsorily
3. Put life into bond trading in India. High time we get over the 1992 scam pain.
4. Allow FPI investments in all zeros.
1/n
1. Zero coupon will create much needed cash flow "inside" the stressed businesses for them to revive.
2. Listing will provide venue for exposure management by lenders &
3. Liquid debt markets will provide fair market price discovery helping a shift from bogus NPA accounting
2/n
2. Listing will provide venue for exposure management by lenders &
3. Liquid debt markets will provide fair market price discovery helping a shift from bogus NPA accounting
2/n
Nature of zero coupons is similar to equities. As and when true animal spirits are unleashed, interest rates slide a boom in their valuation too can come. India's banks can have an opportunity to dump these zeros en masse at that point to willing global suitors! 3/3
