The Hon'able Finance Minister of India introduced the concept of BAD BANK in her Budget speech of Feb 2021, to address the high proportion of stressed assets in the Indian banking system. IDRCL is co-created under the pioneering initiative of the Government of India along with NARCL. It is entrusted with the responsibility of unlocking the value embedded in the large corporate distress assets (NPAs) of the Indian banking and financial system. IDRCL is owned by 14 of the India’s largest private and public scheduled commercial banks.

As the first of its kind institutional framework, IDRCL's mandate include:
1) Provide expert advisory to NARCL on underwriting the acquisition of large corporate NPAs of over Rs. 500 Crore.
2) Comprehensive responsibility of resolution of the assets under management.

IDRCL’s objective is to revive, and restructure stressed businesses and towards this actively partner with strategic & financial investors, promoters, thought leaders & wide-ranging stake holders. IDRCL has impeccable governance standards under the guidance of the Independent Board comprising eminent professionals. IDRCL endeavours to have a transformative impact in stressed asset market by consolidating debt at ARC level and leveraging IDRCL's expertise as a debt resolution manager. This approach inevitably leads to maximizing recovery for banks and a significant boost in economic activity. With IDRCL's proficiency in resolution, we have the potential to stimulate a robust market for stressed assets, attracting potential investors both locally and globally.