System-wide gross non-performing assets of banks rose to 11.2 percent or at Rs 10.39 trillion in FY18 from 9.3 percent a year ago, and the share of public sector banks stood at Rs 8.95 trillion, or at 14.6 percent, according to the Reserve Bank data released Friday.
The home ministry recently made changes in the circular by including CEOs of PSBs in the list of officials who can make request for issuance of LOCs. To check wilful defaulters and fraudsters from fleeing the country, the government has now authorised CEOs of public sector banks (PSBs) to make request for issuance of look-out circulars (LOCs) against suspects.
Even as the RBI has held its repo rate, banks are likely to take cues from the bond markets, where yields are likely to inch up
Govt proposes merger of Bank of Baroda, Dena and Vijaya Bank
The merger of Bank of Baroda, Dena Bank and Vijaya Bank set to create India’s third-largest bank with a total business of more than ₹14.82 trillion.
PNB today said it has segregated its loan appraisal and monitoring system and created various verticals to reduce credit risk, in the aftermath of the Rs 14,000-crore Nirav Modi fraud.
A committee of bankers on resolution of stressed assets has said that the fear of investigation has resulted in the best people in the banks preferring to avoid credit roles, while calling for a revamp of governance and credit structures in state-run lenders.
The Reserve Bank of India, on Tuesday, informed a Parliamentary Committee that banks have reported 15,673 incidents of frauds during the last three financial years (2015-16, 2016-17 and 2017-18), involving a total amount of ₹74,993 crore.
Central Government appointed non-executive chairpersons for three state-run banks. viz Dena Bank, Central Bank of India & Punjab & Sind Bank.
Around 14% of the bad loans in public sector banks (PSBs) are due to wilful defaulters. The total gross non-performing assets (NPAs) of 21 PSBs stood at Rs 7.33 lakh crore as on September 30, 2017. Of this, Rs 1.01 lakh crore of loans were termed as those in wilful default.
Finance ministry asks public sector banks to close loss-making branches
The finance ministry has asked PSBs to discuss consolidation of overseas branches and take a final call on closing some unviable operations.