Private ARCs lose ground as govt backed NARCL dominates bad loans market

Published on 24 April 2026

Their AUM may shrink again as NARCL pulls deals

Private asset reconstruction companies are steadily losing market share, with their total AUM projected to dip 4%–6% to about INR 1.05 lakh crore this fiscal after a 15% fall last year. Meanwhile, government-backed NARCL is emerging as the preferred buyer and resolver of stressed assets, reshaping who gets the most bad-loan business.

Private ARCs’ AUM is projected to fall further this fiscal
AUM already slid 15% in the previous fiscal year
Govt-backed NARCL is gaining preference in bad-loan deals
Competition is shifting away from private players

#asset reconstruction #banking #non performing assets #narcl #fintech

Read the full story at The Economic Times

This summarization was done by Beige for a story published on The Economic Times

Private ARCs lose ground as govt backed NARCL dominates bad loans market

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