NARCL boost: Select PSU Banks can rally up to 25%; SBI may hit Rs 500-level

The Finance Minister in Budget 2021-22 announced that the high level of provisioning by public sector banks of their stressed assets calls for measures to clean up the bank books

The PSU banking shares have been in limelight in trade on Friday, after the government made efforts help resolve NPAs (Non Performing Assets) by way of setting-up a 'bad bank'. The Finance Minister Nirmala Sitharaman on Thursday said the National Asset Reconstruction Company Ltd (NARCL) would be operational soon, and will acquire stressed assets of about Rs 2 trillion in phases. 

"The idea is to ensure resolving bad loans within five years, beyond which the guarantee to be issued by the government would expire," she added. READ MORE

While banks work on the business part of