Reserve Bank Governor Shaktikanta Das on Thursday said the stressed assets situation "looks manageable" as the stock of gross NPAs remained stable even after the second wave of pandemic
The RBI on Wednesday said it has imposed a penalty of Rs 15 lakh on The Baghat Urban Co-operative Bank Limited, Solan, for violation of certain norms, including, those related to NPA classification
The asset quality of state-owned banks remained stable with a fall in gross non-performing assets on y-o-y basis and sequentially
Scheduled commercial banks were carrying NPAs worth Rs 8.96 trn on their balance sheet at the end of March 2020
RBI data shows, loans written-off by the private sector banks were much lower than their public sector counterparts
New measures allow banks to defer full recognition of NPAs, encourage lending to areas having high probability of defaults
Lower provisions will be a key driver supported by healthy operating profit growth, while commentary on asset quality, collections are among monitorables
Analysts believe that the truer impact of Covid-19 as regards NPAs could be visible in the quarter even as banks may be tempted to remain prudent due to the second wave of coronavirus
Rating agency has estimated that gross NPAs (excluding write-offs) will rise to 9.6-9.7% by March 31, 2021 and 9.9-10.2% by March 31, 2022 from 8.6% as of March 31, 2020
Nifty Bank index may hit record levels of 33,000 if it surpasses the resistance of 32,300
The RBI's conscious steps to reduce the repo rate have also lowered the marginal cost of fund-based lending rate across banks, ratings agency India Ratings and Research said
Fitch Ratings estimates that under a moderate stress scenario, Indian banks are around $15 billion short of the capital required to meet a 10 per cent weighted-average common equity tier 1 ratio.
With an increase in stress on asset quality and profitability, state-owned banks may need Rs 45,000-82,500 crore of capital in this financial year under a weak credit growth scenario, it said
Avoid banks and NBFCs with a high proportion of unsecured and small, medium enterprises loans
The Reserve Bank of India has imposed a moratorium on the bank and restricted withdrawals to Rs 50,000 per depositor till April 3
Margins may stay strong, but Street will keep eye on asset quality
Farmers, meanwhile, are paying for their seed and fertiliser needs in cash as the loan write-offs have taken them off the credit grid
The bank said this is the first lot of non-performing asset accounts to be sold during the ongoing quarter of the current financial year.
State-owned banks, which account for 80 per cent of the NPAs in the banking system, will see their gross NPAs shrinking 400 bps to 10.6 per cent by March 2020, down from 14.6 per cent in March 2018
Bad loans fell to Rs 8,75,619 crore as on June 2018 and further to Rs 8,64,433 crore in December 2018