PSBs write off Rs 5.16-bn NPAs of 38 wilful defaulters in H1FY18

State Bank of India accounts for over 27 per cent of the total amount owed to public sector banks by wilful defaulters as of March 2017

Public sector banks have written off loans worth Rs 5.16 billion owed by wilful defaulters in the first half of the current fiscal, as per the data collated by the finance ministry. 
 

As part of this exercise, 38 loan accounts of wilful defaulters were written off the books of banks during April-September period of 2017-18, it said.
 

Write-off in banking parlance means that the bank has made 100 per cent provision from its earning against that account. Following this, no-performing asset (NPA) is no longer part of its balance sheet.
 

However, the write-off puts pressure on balance sheet of banks