Arun Jaitley

New Delhi, (IANS) : Union Finance Minister Arun Jaitley on Saturday said banks have to recover their loans to boost private investment and domestic private investment should pick up.

Speaking at a debt recovery seminar, Jaitley said public investment has picked up and India is a favourable destination for foreign direct investment but the challenge is domestic private investment.

According to the minister, for private sector to invest it should get credit from the banks and for the banks to lend it should recover the loans given.

Jaitely said banks find it difficult to lend as their balance sheets are stressed and monies already lent is with defaulters.

The efficiency has to be brought in so as to recover the money from defaulters, he said.

Jaitley added that a defaulting litigant hurts the environment climate in India as the money lent by the banks are blocked and preventing the banks from lending to others.