The finance ministry is in discussion with the Reserve Bank of India (RBI) for relaxation of norms regarding stressed asset resolution that was announced in February. This follows representation by large banks to the ministry officials as they worry about pressure on profitability due to the revised guidelines. RBI’s mandate to implement a resolution plan even if the loan is overdue for a day, has in particular upset banks. RBI had also mandated that if the solution plan was not implemented within 180 days, bankruptcy process should be initiated. Banks have to make 50% provision for accounts that are referred to the NCLT for insolvency proceedings.