LIC's gross NPAs rise to 6.23% in FY18, cover for bad loans improves

It earned Rs 1.55 trillion as interest and Rs 97.68 billion as dividend, returning a yield of 7.71% for the year

State-owned insurance behemoth Life Insurance Corporation of India (LIC) posted a jump in gross non-performing assets (NPAs) at 6.23 per cent in FY18 over 4.73 per cent in the previous financial year. However, it made higher provisions for bad loans, leading to a marginal decline its net NPAs from 1.96 per cent in financial year 2016-17 (FY17) to 1.82 per cent in FY18. 

In absolute terms, the non-performing assets of the insurer as on March 31, 2018 is Rs 252.41 billion out of a total debt of Rs 4 trillion. The doubtful asset stood at Rs 131.57 billion and loss assets