Contagion's No Longer the Biggest Problem in India's IL&FS Saga
- Investors eye new government-selected board’s turnaround plan
- Central bank must also thread the needle amid tight liquidity
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India’s shock seizure of a troubled shadow bank on Monday means contagion’s off the table. It doesn’t mean the saga’s over.
That’s the verdict of strategists and investors after Prime Minister Narendra Modi’s government took control of Infrastructure Leasing & Financial Services Ltd., promising to end the group’s string of defaults.