Bank NPAs: Stirred, But Not Paused
While NPAs have come off their FY18 peak, they still remain far from their all-time lows.
npa problem
June 2022
August 2021
July 2021
April 2021
March 2021
February 2021
October 2020
November 2019
SBI to park ₹20,000 crore NPAs in bad bank
The country’s biggest lender will transfer the accounts in phases by the end of FY22.
Govt guarantee to bad bank SRs a blind gambit
The new guarantee to all Security Receipt holders that in the event of a shortfall it is the government who will step in and pay from the public exchequer is a problematic development.
Cautiously optimistic credit outlook for FY22: CRISIL
Aided by strong demand recovery, credit ratio rebounds to 1.33 in H2FY21, from 0.54 in H1FY21. GDP could grow at 11% in FY22, but the resurgence in Covid-19 cases is a key downside risk, says CRISIL.
How ARCs are solving India’s NPA crisis
Asset reconstruction companies (ARCs) were set up in India to solve the NPA problem. India's 29 ARCs are a reflection of the success of the ecosystem in alleviating the stressed asset challenges.
Has Covid-19 made PSBs more vulnerable?
While Indian banks' improved financial metrics do not fully reflect the impact of the Covid-19 pandemic, the under–capitalised PSBs are likely to remain risk averse and lose market share.
Budget proposes cleansing mechanism for PSBs
Apart from recapitalisation, public sector banks get a shot in the arm in the form of ARC and AMC mechanisms to clean up their books.
Budget 2021: Ways to relieve banks’ NPA burden
There is a need to make the insolvency system more robust, and the revival mechanism swifter and more efficient. The Budget 2021 may provide a way forward.
The inside story of mega bank mergers
An extract from the forthcoming book ‘Pandemonium: The Great Indian Banking Tragedy’ gives a behind-the-scenes glimpse of how the Modi government’s ambitious bank merger plans unfolded.
YES Bank and its chronic bad loan pain
No respite for controversy-hit YES Bank after the RBI finds the private sector lender guilty of under-reporting bad loans, again, casting a shadow on the bank’s asset quality and profitability in Q3.
