kaamagni Telugu Pachi boothu kathalu

In the absence of a good bankruptcy code in India, Reserve Bank is working on a system to enable entrepreneurs seeking to exit insolvent business, a top official of the central bank said.

"We have a tendency in India that we do not like failures. We think everybody should pass and have distinction. We do not have a culture to accept failures.

"How to create that? There is a thinking in Reserve Bank, we have been thinking how to create a system so that people should voluntarily withdraw from an unattractive business," RBI executive director B Mahapatra said in his address on "Managing Stressed Assets" organised by Assocham.

He said it is felt there has to be a good bankruptcy system in India.

Mahapatra said RBI has started working on an enabling system for banks that will help those entrepreneurs seeking an honourable exit from unattractive ventures.

He said here in India the bankruptcy has a stigma attached as, "Nobody wants to be called a bankrupt person...Indian philosophy is that we do not like failures".