Perpetual bonds, which include AT-1 bonds, are considered riskier than other debt instruments, as they can be written down before equity, leading to losses for investors. Investors in YES Bank’s AT-1 bonds suffered such losses in 2020, while more recently, at a global level, perpetual bonds were written off following Credit Suisse’s bailout.
FM Nirmala Sitharaman flags mis-selling of insurance, calls for collateral free loans to MSMEs
Indian Finance Minister Nirmala Sitharaman raised concerns about insurance mis-selling, emphasizing its contribution to higher borrowing costs for customers. She urged banks to focus on
November 18, 2024