Will India’s banks sink or swim after recapitalization?

The recently announced 2.1 trillion rupee (US$32.5 billion) strategy to recapitalize India’s state-controlled banks over the next two years has received a thumbs-up from equity investors. Details are lacking but investors have responded enthusiastically to the prospect of resolution of a lingering bad-loans problem. India’s banking system has about 9.5 trillion rupees worth of bad […]