Tag: npas

The gross non-performing assets (NPAs) of Indian banking systems are estimated to decline to 5.6-5.7 percent by March 2023 from 6.2-6.3 percent in March 2022, according to ICRA. Thus the asset quality of the Indian banking system is set to improve further. The NPAs will decline to 1.7-1.8 percent by end of the current financial year (FY23) as against an estimate of 2 percent by March 2022. However, the rating agency added a caveat saying the performance of restructured loan book poses uncertainty to asset quality. The Russia-Ukraine conflict poses macro-economic challenges related to cost inflation, higher interest rates, and exchange rate volatility, which could pressurise asset quality, it added. The credit and other provisions are estimated to dip to 1.3-1.4 percent of advances in FY23 as against an estimated 1.7-1.8 percent in FY22, said Anil Gupta, vice president, ICRA. Read more

Bank of Baroda (BoB) reported a standalone net loss of Rs 1,046 crore for the March quarter (Q4FY21). It had posted a profit of Rs 506.6 crore in the same period last year (Q4FY20). BoB's net interest income (NII)-the difference between interest earned and interest expended increased 4.5 percent to Rs 7,107 crore for the fourth quarter as compared to Rs 6,798.2 crore in the year-earlier period. On a consolidated basis, the net loss of the lender stood at Rs 740 crore for the quarter. The Bank’s gross non-performing assets (NPAs) rose sequentially to 8.87 percent in Q4FY21. In Q3FY21, gross NPAs of the bank were at 8.48 percent. Meanwhile, net NPAs stood at 3.09 percent. The Bank has stopped short of declaring any dividend for the financial year 2020-21. Read more