Provisioning Norms for Leased Assets
i) Substandard assets
a) 15 percent of the sum of the net investment in the lease and the unrealised portion of finance income net of finance charge component. The terms ‘net investment in the lease’, ‘finance income’ and ‘finance charge’ are as defined in ‘AS 19 Leases’ issued by the ICAI.
b) Unsecured lease exposures which are identified as ‘substandard’ would attract additional provision of 10 per cent, i.e., a total of 25 per cent.
ii) Doubtful and
iii) Loss assets
This is same as for Loan Assets