India's banking system may not yet have seen the peak in bad loans, the Reserve Bank of India Governor Raghuram Rajan said on Thursday, adding the central bank was working with lenders to recognise and resolve these non-performing assets.

Rajan was speaking at a news conference after the central bank's board meeting in the western state of Goa.

He also said that the RBI was not against the idea of an independent public debt management agency and that there was no difference of opinion between the central bank and the government on the issue.

Illustration: Uttam Ghosh/Rediff.com