The Reserve Bank on Thursday said net non-performing assets ratio of banks declined to a multi-year low of 0.8 per cent at the end of September 2023 and the country's domestic financial system remains resilient.
Till now, this avenue for dud asset resolutions was available only with scheduled commercial banks and select non-bank finance companies, Das said, adding that comprehensive guidelines on the same will be released soon.
In an exclusive conversation with India TV, Credgenics CEO and Co-Founder Rishabh Goel talked about the billion dollar NPA problem in the country and how they aim to resolve it.
In his reply to the Estimates Committee, Rajan said that in such an environment bankers' became over confident started lending large loans 'based on project reports by the promoter’s investment bank, without doing their own due diligence'.
The panel, which includes former prime minister Manmohan Singh as a member, wanted to know the reasons of ever-greening of stressed accounts through restructuring schemes of the Reserve Bank of India.
This exercise comes at a time when gross NPAs in the banking system has risen to around Rs 10.3 lakh crore, or 11.2 per cent of advances, compared to Rs 8 lakh crore, or 9.5 per cent of total loan, as on March 31, 2017.
The ICA is being signed by 22 public sector banks, including the India Post Payments Bank, 19 private sector banks and 32 foreign banks.
The bank hopes to recover Rs 136 crore dues by selling the three NPA accounts- Gwalior Jhansi Expressways, SVS Buildcon Pvt Ltd and Shiva Texfabs Ltd.
In a report, the rating agency said that the GNPAs increased to around Rs 10.3 lakh crore in FY18. It was 11.2 per cent of advances compared with Rs 8 lakh crore, or 9.5 per cent of advances, as on March 31, 2017.
"I think that through recapitalisation and other measures, we really need to ensure that the banking system gets strong enough to be able to begin the process of lending."
How did two bank employees manage to help three business firms swindle such a large amount? Read on to understand what is PNB-Nirav Modi scam and how India’s biggest banking fraud worth Rs 11,400 crore unravelled.
Worse may not be over for the banking sector. As the bad loans are on a steady rise, new RBI guidelines are expected to add over Rs 2.8 trillion worth of loans in NPA category.
The banking sector fears accretion of more than Rs 40,000 crore of bad loans to its books following recent classification of eight consortium accounts of Axis Bank as NPAs by RBI.
Replying to a debate on the bill, Jaitley said the RBI has already identified top 12 loan defaulters and more cases will be taken up by them for resolution
The 12 defaulters accounting for 25 per cent of total bad debt include Essar Steel, Bhusan Power and Steel, Alok Industries, Amtek Auto, Monnet Ispat, Lanco Infra, Electrosteel Steels, Era Infra, Jaypee Infratech, ABG Shipyard, and Jyoti Structures
The Finance Ministry today said names of the 12 big defaulters identified by the RBI for initiation of bankruptcy proceedings will soon be made public
The RBI today identified 12 accounts each having more than Rs 5,000 crore of outstanding loans and accounting for 25 per cent of total NPAs of banks for immediate referral for resolution under the bankruptcy law
The loans under scanner include those that have either become Non Performing Assets (NPAs) or those restructured as of December 2016
The ordinance to deal with the banking sector's non-performing loans and the amendment to the Banking Act received President Pranab Mukherjee’s approval on Friday.
The Congress today slammed the Narendra Modi government for fooling the people, saying Non-Performing Assets (NPAs) have increased 56 per cent in the last 12 months between December 2015-16.
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