Rising asset quality woes and slowing credit off-take have hit the stocks of most PSU banks over the past one year. The recently announced higher provisioning requirement by RBI will also impact their earnings. However, experts believe while the falling interest rates and improvement in GDP growth will reflect positively on these banks, some PSU banks offer favourable risk-reward even in this environment.

><table width='100%' border=0 cellspacing=0><tr><td style='FONT-FAMILY: Arial; FONT-SIZE: 18px; FONT-WEIGHT: bold; COLOR: #0253B7;'>PSU Banks: Time to cherry pick</td></tr><tr><tr><td style='FONT-FAMILY: Arial; FONT-SIZE: 11px; '>Even as concerns over PSU Banks

PSU Banks: Time to cherry pick

Even as concerns over PSU Banks asset quality, growth rates remain, experts say there are few like BoB, OBC, Union Bank which offer a favourable risk-reward equation

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