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.
The bank’s fresh NPAs or slippages took a sharp drop, falling 69% year on year to Rs 2,777 crore from Rs 8,936 crore last year.
The private sector lender saw profit fall nearly 55.8% to Rs 909 crore, but the asset quality picture serves as a redeeming factor.
Despite posting a loss of Rs 7,718 crore for the quarter ended March, SBI said next year would be a happy one and that it would look to unlock more value from its subsidiaries soon.
The bank says the 250% quarter-on-quarter increase in slippages is largely due to RBI’s new NPA recognition & resolution norms.
