NPA Resolution

According to sources, banks were asked to sanction loans for productive sectors to accelerate the revival of the economy facing headwinds, including from the Russia-Ukraine war.

Analysts expect the 'bad bank' to improve the balance sheet of banks, and aid incremental cash flow. However, a delayed resolution may dent the asset's value over time

Having several routes for NPA resolution has both advantages and disadvantages as the decision will finally be taken by the banks

Over 20K cases pending and more than half linked to insolvency, bankruptcy

ARC expected to be functional next month

A three-member NCLAT bench said the sanctity of resolution process has to be maintained and such withdrawal by a successful bidder "frustrate" the entire exercise of CIRP

The bank had reported Rs 11,333.24 crore net NPAs during the year while the RBI assessed it at Rs 13,898.24 crore

The State Bank of India (SBI) has been pursuing resolution of Non Performing Assets (NPA) and they should decline in the future, with fresh accretion coming down, a senior bank official said on Tuesday. "As far as the NPAs are concerned, most of the large accounts which were not performing had already been regularised as NPA. So the bank has been acting on getting the resolutions done. So, lot of those large cases are already under NCLT," SBI Managing Director (Retail & Digital Banking), Parveen Kumar Gupta told reporters here. The resolutions have already been done in a few cases, while they were in an advanced stage in a few others, he said. He hoped that those resolutions would go through in the next couple of months. "The fresh accretion to NPAs has already come down. So, we hope that going forward on the NPA front, we should see a decline in the numbers. We don't see NPA numbers actually going up in the future," he said. Gupta, who was speaking on the sidelines .

The ICA is to be signed by 22 public sector banks, 19 private sector banks and 32 foreign banks

A sector-wise approach and an enabling legal and regulatory framework are needed to make the most of the NCLT mechanism

Credibility of NPA resolution efforts will depend on PSBs' ability to absorb costs

Jaitley said RBI already had identified top 12 loan defaulters

FinMin said any delay in recognition of deterioration in asset quality removes pressure on the banks

Various measures to tackle rising bad loans were discussed.