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PSBs' loan write-offs twice as much as govt's capital infusion in 7 years

RBI data shows, loans written-off by the private sector banks were much lower than their public sector counterparts

banks, loans, credit, private banks, public sector banks, PSU banks, loan write-off, npa, bad loans, Non performing assets, asset

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According to bankers, additions to bad loans have fallen significantly in the last couple of the years as most of the stressed accounts have already been classified as non-performing.

Manojit Saha Mumbai

4 min read Last Updated : Jul 21 2021 | 1:55 AM IST

Public sector banks have written off a massive Rs 8 trillion worth of loans during the last 7 years of Narendra Modi government, which is more than double than the amount of capital infused by the government during the period.

Between 2014-15 and 2020-21, the government infused Rs 3.37 trillion into public sector banks. FY19 saw the highest amount of capital infusion during the period at Rs 1.06 trillion. In 2020-21, the government infused Rs 14,500 crore into four public sector banks.

On the other hand, between 2014-2021, government-owned banks wrote-off loans worth Rs 8.07 trillion. FY19 saw the maximum

Topics : public sector banks RBI capital infusion Bank NPAs Bad loans