The Presidents/Chief Executive Officers,

All Banks

GUIDELINES - NON-PERFORMING LOANS (NPLs) MANAGEMENT STRATEGY

1. In order to facilitate banks to deal with the existing stock of Non-Performing Loans (NPLs) and minimize further build-up of NPLs, it has been decided that the banks shall develop a comprehensive NPLs Management Strategy, duly approved by their Board of Directors. While developing the said strategy, banks shall appropriately follow the Guidelines on NPLs Management Strategy, as attached at Annexure A.
2. Banks are advised to ensure the development and implementation of the Strategy within six months from the issuance of this circular.
3. Please acknowledge receipt.