ARC consolidation: Govt weighs ASREC merger with NARCL

The government is weighing a proposal to merge ASREC ARC with NARCL to create a single PSU-backed asset reconstruction company. ASREC is largely owned by public sector lenders including Indian Bank, Union Bank of India, LIC, and Bank of India. The proposal is at a preliminary stage with no final decision taken yet, and the stated objective is consolidation rather than business expansion.