NaBFID MD says infra loan losses very low, questions RBI's 5 per cent provision proposal

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NabFID’s managing director Rajkiran Rai has raised concerns over the RBI’s proposal requiring lenders to set aside 5 per cent for under-construction projects. He pointed out that defaults on such loans are less than 1 per cent, advocating for a revised perception of infrastructure finance due to improved loan performance and competitive interest rates.