Page 4 - Public Sector Banks

Public sector bank NPAs drop to 2.58% from 9.11% in 4 yrs: Finance ministry

Gross NPAs of public sector banks dropped from 9.11% in 2021 to 2.58% in 2025, driven by RBI and government reforms, stricter recovery laws, and improved asset resolution frameworks

Central Bank of India Q1 results: PAT jumps 33% to ₹1,169 cr on lower NPAs

State-owned Central Bank of India on Saturday posted a 33 per cent growth in net profit at Rs 1,169 crore during the first quarter of this financial year, aided by improvement in core income and decline in bad debts. The Mumbai-based bank had earned a net profit of Rs 880 crore in the same quarter of the previous fiscal year. The total income rose to Rs 10,374 crore during the June quarter of 2025-26, from Rs 9,500 crore in the same quarter of FY25, Central Bank of India said in a regulatory filing. Interest earned by the bank improved to Rs 8,589 crore, as compared to Rs 8,335 crore in the June quarter FY25. During the period under review, operating profit of the bank increased to Rs 2,304 crore, as compared to Rs 1,933 crore in the same quarter a year ago. The bank's asset quality showed improvement as gross non-performing assets (NPAs) declined to 3.13 per cent of gross advances at the end of the June quarter, from 4.54 per cent a year ago. Gross advance increased by 9.97 per

The curious case of demotion of executive director at a public-sector bank

If someone is deemed unfit for the ED post, can that person be considered fit to be a general manager?

MSME lending a new driver of credit growth? Asset quality a key test

Credit growth to small and medium enterprises is outpacing all other sectors, but the test of asset quality lies ahead

SBI, other public sector banks to raise $5.25 bn through QIPs in FY26

State-run banks, led by SBI, plan to raise ₹450 billion via QIP in FY26, with the government also targeting stake sales in multiple PSU banks by October

Govt banks step up efforts to bridge linguistic chasm with customers

State-owned banks are prioritizing local language skills in their hiring to improve customer service and reduce language barriers, with Bank of Baroda and SBI leading the way

FinMin directs public sector banks to evaluate board performance

"Independent third-party board evaluations are a widely accepted global practice, and India has only recently begun adopting them," remarked S. Krishnan

Public sector banks to hire about 50,000 manpower in current financial year

Public sector banks will recruit about 50,000 manpower during the ongoing financial year to meet their growing business requirement and expansion. Of the total fresh recruitment, about 21,000 would be officers and remaining would be staff including clerks, as per data collated from various banks. Of the 12 public sector banks, the biggest player State Bank of India (SBI) is going to employ close to 20,000 including specialised officers in the financial year. Initiating the process, SBI has already hired 505 Probationary Officers (POs) and 13,455 junior associates to enhance customer experience at its branches across the country. The recruitment of 13,455 junior associates is aimed to fill vacancies across 35 states and Union Territories. The total staff strength of SBI stood at 2,36,226 as of March 2025. Of this, 1,15,066 officers were on the rolls of the bank at the end of last fiscal. Average hiring cost per full-time employee for 2024-25 was Rs 40,440.59. SBI has a consistent

FinMin pushes PSBs to expand branches amid private sector competition

Amid rising competition from private and small finance banks, PSBs have been asked to scale up physical infrastructure and cover over 200 unbanked population clusters

Risk-on mood to improve in H2 2025; banks, financials top picks: MOFSL

Motilal Oswal sees risk-on sentiment improving in H2 2025, with banks and financials, led by ICICI Bank, HDFC Bank, and SBI, emerging as top investment picks

Credit growth may remain subdued despite 100 bps policy repo rate cut

Banks maintain credit growth guidance at 11-13 per cent and await CRR reduction and festival season before revising projections

FM Nirmala Sitharaman nudges public sector banks to push credit growth

After slipping to 12% in FY25, loans growth has fallen below 10%

Good show by banks as most register a rise in profit, but challenges ahead

Overall, public sector banks have put up a better show than private banks on most parameters

94 candidates apply for six executive director positions in PSBs

FSIB likely to hold interviews month-end

PSBs see surge in staff productivity as business per employee rises

The number of employees in most PSBs has declined over the years. Bank of India witnessed a consistent decline, falling from 52,374 in FY23 to 50,944 in FY24, and further to 50,564 in FY25

PSBs outpace private banks in loan growth for first time in 14 years

Public sector banks saw 13.1 per cent loan growth in the financial year 2024-25, beating private banks' 9 per cent for the first time since 2011

Vigilance scrutiny: 'Sword of Damocles' for public-sector bankers

The word 'vigilance' is a dreaded term for PSB employees, and there are instances of this fear being misused by the higher authorities

Banks may hold back on fresh loans to Vodafone Idea as AGR clouds linger

Supreme Court (SC) had dismissed petitions by telecom companies Vi and Airtel seeking a waiver on paying interest, penalty, and interest on penalty components as part of their long-standing AGR dues

Sixty one per cent of floating rate loans linked to EBLR as of Dec 2024

Meanwhile, loans linked to marginal cost of funds based lending rate (MCLR) has reduced to 36 per cent as of December 2024, Reserve Bank of India (RBI) annual report revealed

Mis-selling of a different kind: Are PMJJBY, PMSBY statistical illusions?

If awareness remains low, frauds persist and genuine claims continue to be rejected, these initiatives will be successes only on paper, with negligible on-ground impact