Punjab National Bank expects more government-run and and private sector banks to sign inter-credit agreement (ICA) by the end of the week.

In an interview to CNBC-TV18, Sunil Mehta, non-executive chairman, said, "The private banks have been very much engaged with Indian Banks' Association (IBA) in getting their issues, queries raised and resolved and expects a large number of them to sign during the course of the current week."

Inter-creditor agreement is a framework under which consortium of lenders would take up non-performing assets (NPA) cases.

The framework will authorise the lead bank to implement a resolution plan in 180 days and the leader would then prepare a resolution plan including empanelling turnaround specialists and other industry experts for operation turnaround of the assets within RBI's stipulated time-frame of 180 days.