Public sector banks’ NPAs alarmingly rose to Rs 7.34 lakh crore at September-end

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Non Performing AssetsNon-Performing Assets (NPAs) in public sector banks (PSBs) have inflated to Rs 7.34 lakh crore by the end of second quarter this fiscal, according to Reserve Bank of India (RBI) data.

As per the apex body majority of the bad loans were contributed from the corporate defaulters.

While the NPAs in PSBs are rising high, private sector banks, on the other hand, have reported a comparative controlled figure.

The NPA account for Private banks were considerably low at Rs 1.03 lakh crore by September 30.

“The gross non-performing assets of public sector and private sector banks as on September 30, 2017 were Rs 7,33,974 crore, Rs 1,02,808 crore, respectively,” said Union Finance Minister Arun Jaitley.

The leading corporate houses and companies have played a crucial role in the rising menace of NPAs by contributing to approximately 77 per cent of the total gross NPAs from domestic operations for the banks, said the government.

State Bank of India (SBI) reported the highest amount of NPAs at over Rs 1.86 lakh crore followed by Punjab National Bank (Rs 57,630 crore), Bank of India (Rs 49,307 crore), Bank of Baroda (Rs 46,307 crore), Canara Bank (Rs 39,164 crore) and Union Bank of India (Rs 38,286 crore) among the Public Sector banks.

In the private sector, ICICI Bank accounted for the highest amount of NPAs at Rs 44,237 crore by the end of September, followed by Axis Bank (Rs 22,136 crore), HDFC Bank (Rs 7,644 crore) and Jammu and Kashmir Bank (Rs 5,983 crore).

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