Revised inter-creditor pacts may do away with need for 66% lenders' nod

The revised inter-creditor agreement (ICA) framework may do away with the approval threshold of 66 per cent of lenders by value to craft resolution proposals. ICAs are also expected to cover standard assets and could be made part of loan covenants from the start of a credit relationship. Banks will be able to customise ICAs in accordance with their needs even as more financial stakeholders are on-boarded, including those with foreign currency exposures, according to senior bankers involved in discussions. Separately, the trigger points under the Reserve Bank of India’s (RBI&r.....

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