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MSME sector's bad loan ratio at 12.5% as of January, shows report

NPA level of public sector banks has increased from 18 per cent in December 2018 to 19 per cent in December 2019

Topics
MSME sector | Non-performing assets | Indian banking sector

Subrata Panda  |  Mumbai 

Sewn up: Employees sew clothes at the Estee garment factory in Tirupur, in  Tamil Nadu. Relatively high labour cost is costing the textile town its competitive advantage. Photo: Reuters
The private sector banks exhibited NPA levels in the range of 3-5 per cent in the MSME segment.

The bad loan ratio in the micro, small and medium enterprises (MSMEs) segment stand at 12.5 per cent as of January 2020, a report by TransUnion CIBIL and SIDBI showed. While the (NPAs) ratio in micro segment was 9 per cent, the small and medium segments showed higher proportion of loans going sour at 11 per cent.

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First Published: Fri, May 08 2020. 23:57 IST
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