Background to npa : in the wake of the financial reforms undertaken by the government of india based on the narasimhan committee report i and ii, prudential norms were introduced by reserve bank of india to address the credit monitoring process being adopted and pursued by the banks and financial institutions. Among the major public sector banks, state bank of india (sbi) had the highest amount of npas at over rs 186 lakh crore followed by punjab national bank (rs 57,630 crore), bank of india (rs 49,307 crore), bank of baroda (rs 46,307 crore), canara bank (rs 39,164 crore) and union bank of india (rs 38,286 crore.
Bank of india the gross npa of bank of india has risen up to 1322 per cent or rs 5204452 crore of its total lending the bank reported a net loss of 1046 billion rupees for march quarter net loss for the quarter ended march 31 narrowed from a loss of 3587 billion rupees a year earlier. In other words, the total gnpas of banks, as a percentage of the total loans, has grown from 211 per cent to 508 percent surprisingly, in the pre-crisis period, private banks topped the list of banks with highest npas (see the chart) a quick look at the top ten npa scorers in september 2008 shows icici bank at the top. Around 24 banks sign on new npa resolution framework the framework is part of the project sashakt (or the report on bad bank submitted early this month), drafter by the sunil mehta (non-executive chairman of pnb) committee earlier this month.
Gross non-performing assets (gnpas): gross npa is the sum of all loan assets that are classified as npa as per rbi guidelines gross npa ratio is the ratio of gross npa to gross advances (loans) of the bank. Eight psbs banks — idbi bank, indian overseas bank, uco bank, bank of maharashtra, central bank of india, dena bank, united bank of india, and corporation bank — had a gnpa ratio of over 15 per cent as of june 2017 yes bank is the only bank in the sample of 38 banks with a gnpa ratio of less than 1.
Fm jaitley defends banks on npa mess, says bankers must be given more power to resolve it 27 aug, 2018, 0933pm ist addressing the agm of bankers lobby iba through a video link, finance minister arun jaitley on monday said indiscriminate lending to chase growth was a policy mistake.
The npa figures along with total debt for each of the 49 public and private sector banks were shared by the ministry of finance in response to a parliament question on friday the amount of top twenty non performing assets (npa) accounts of public sector banks stands at rs 154 lakh crores.
According to the reserve bank of india (rbi), the gross non-performing assets in indian banks, specifically in public sector banks, are valued at around rs 400,000 crore (~us$615 billion), which represents 90% of the total npa in india, with private sector banks accounting for the remainder. We believe that these public sector banks in india will further erode investor's wealth as they continue to suffer high non performing asset (npa) concerns.