Non-banks drive asset reconstruction purchases amid retail loan stress
Although an industry-wide breakdown of bank and non-bank loans sold to ARCs is unavailable, the shift is visible on the books of individual ARCs. For instance, Asset Reconstruction Company (India) Ltd (Arcil), one of India’s largest ARCs, acquired roughly ₹5,959 crore worth of financial assets in FY26. Of that total, banks accounted for about a quarter (around ₹1,493 crore), while non-bank financiers accounted for ₹4,466 crore of the stressed assets sold to Arcil, according to its latest annual report.
