RBI is now authorised to initiate bankruptcy proceedings for stressed assets, Jaitley said
Central bank likely to keep tabs on large wilful defaulters; policy likely by month-end
In cases where SDR was used, banks could treat the exposure as standard asset for 18 months
A public sector asset rehabilitation agency is needed to solve the NPA problem
Gross non-performing assets are now estimated at 11.2% for PSU banks, says Parekh
Out of Rs 6.8 lakh cr of NPAs of public sector banks, 70% are those of big corporate houses
The non-performing assets (NPAs) of banks in Odisha is recorded at 11.95 per cent as on December 31, 2016 with maximum slippages noted in the loans advanced to the agriculture and education sectors.Though bad loans crisis is a nationwide phenomenon, the gross NPAs of banks operating in Odisha at 11.95 per cent is higher than the pan-India average of 9.3 per cent (as on December 2016) of both the public and private sector banks.In Odisha, out of the total outstanding advances of Rs 105109.84 crores to priority and non-priority sectors, the NPA stood at Rs 12557.10 crore for the quarter ended December 31, 2016.A loan or advance for which the principal or interest payment remained overdue for a period of 90 days is classified an NPA.The NPA rate in the state is the highest in case of agriculture term loans and it is pegged at 17.83 per cent. For the overall agriculture sector, the rate stood at a whopping 13.48 per cent.The rate for MSMEs is 12.87 per cent while it is 14.45 per cent and .
The economic slowdown had started much before 2013 but banks continued to pour money into sick firms
The meeting also discussed the problems faced by banks in faster resolution of stressed assets
The Economic Survey 2016-17 has suggested establishment of a 'bad bank' to deal with the NPA issue
The report is jointly penned by Moody's and its domestic arm Icra Ratings.
As on September 30, gross NPAs of public sector banks rose to Rs 6,30,323 crore as against Rs 5,50,346 crore by June end
Gangwar says NITI Aayog has not moved any proposal to create a bad bank to hold the stresses and non-productive assets and loan recovery of banks
NBFCs expected to benefit from move as easing of rules is only for loans less than Rs 1 crore
For now, even as there is ample demand for big-ticket loans, banks are hesitant to open up their purses
Just five sectors contribute 61% of the banking sector's stressed assets - infra, steel, textiles, power, and telecom
He said that it will help the system tide over troubles and also ease pressure on growth capital
The OC has been created to ensure that the entire exercise of NPA resolution is carried out in a transparent and prudent manner
It noted that RBI's tough stance on the cleanup of balance sheets by next March would weigh on banks' asset quality
Overall bank deposits of SHGs rose by nearly 23.79% to stand at Rs 13,691 crore