Page 3 - Asset Quality Review

CARE Debt index improves by 33 bps in April on better asset quality

Improvement was backed by enhancements in higher rated debt paper. As it is contemporary with minimum time lags, the health of debt and credit markets is encapsulated on a near-real-time basis

Covid-19: MFIs to face asset quality pressures in near term, says report

The microfinance industry is likely to face asset quality pressures in the near term due to the recent surge in COVID-19 infections and localised restrictions, says a report.

Bank earnings: Loan growth to improve, SC gives clarity on asset quality

Lenders are expected to show quarter on quarter improvement in loan growth, say analysts.

Bank asset quality may suffer as impact of relief measures dwindles: Icra

Rating agency has estimated that gross NPAs (excluding write-offs) will rise to 9.6-9.7% by March 31, 2021 and 9.9-10.2% by March 31, 2022 from 8.6% as of March 31, 2020

Moody's upgrades IndusInd to 'stable' outlook, affirms long-term ratings

The lender's asset quality slipped marginally in the economic disruption caused by the Covid-19 pandemic, says agency.

NPAs expected to increase in first half of 2021: FICCI-IBA survey

Asset quality of banks is likely to worsen during the first six months of 2021, according to a survey

Suryoday SFB IPO elicits mixed reaction from analysts; here's why

Analysts covering the Suryoday SFB IPO share mixed views and are split between high valuations and good return ratios

Monetary policy: RBI doing exactly what AQR does, though unofficially

The Economic Survey, last week, had suggested that there should be one more round of AQR of banks after the Covid-related forbearance is over

Bandhan Bank sinks 11% in 2 days on disappointing December quarter results

Bandhan Bank reported a sharp deterioration in asset quality trends with pro-forma gross non-performing assets (GNPA) ratio increasing to 7.1 per cent

Retail and SME loans set for litmus test in 2021 as stress levels may rise

Little leeway on pricing and asset quality at a tricky level could places both segments in a tight spot

BofA, CLSA think Axis, IndusInd Bank are ripe for re-rating; here's why

Analysts at BofA Securities have upgraded Axis Bank, IndusInd Bank, and State Bank of India (SBI) on a "surprisingly" resilient asset quality outlook, and reasonable valuations

UCBs' asset quality and finances deteriorate in FY20, says RBI report

The rise in NPAs may partly be attributable to stagnant growth in loans and advances and weak balance sheets

Growth gathers steam for NBFCs in H1FY21 as balance sheets expand 12%: RBI

In view of the pandemic, and also in order to maintain adequate liquidity, NBFCs increased their cash and bank balances significantly during the year, RBI report said

Bank asset quality may see sharp deterioration post-moratorium: RBI

Says banks will have to adapt and adjust to the rapidly evolving economic landscape and entry of niche players and emerging financial technologies

Asset quality pressure on banks to moderate by FY22-end, says Icra

Maintains stable outlook on lenders, sees NPAs declining to 2.5% by March 2022, from estimated 3.1% in March 2021

PSBs may find it hard to raise money on asset quality, governance concerns

While the banks have cleaned up books and the space has seen consolidation after the merger exercise, the impact of big-ticket frauds of the past and the bad-loan burden remain an issue

Banks must focus on asset quality, capital for monetary policy impact: RBI

While asset quality issues have an impact on the credit growth of the economy, better capital position of banks can negate the effect

Asset quality of Indiabulls Housing Fin, IIFL Finance vulnerable: Moody's

The agency said Muthoot Finance the third non-bank finance company it rates is better positioned because of its focus on the gold loans business.

Profit surge shows SBI can withstand tough operating conditions: S&P

However, asset quality may slip; GNPAs could rise to 8.5%

SBI shares surge 7% after healthy September quarter numbers

Analysts believe that the earnings normalisation cycle for the state-owned lender has begun as the uncertainty brought about by the pandemic is receding significantly.