Bad loans in public sector banks at Rs 7.34 lakh crores; heres the worrying part
In a shocking revelation, the bad loans in public sector banks is said to be standing at whopping at Rs 7.34 lakh crore by the end of second quarter this fiscal.
It was also reported that a bulk of these bad loans came from corporate defaulters.
The information has been confirmed by the Reserve Bank data.
However, on the other hand private sector banks’ non- performing assets (NPAs) were considerably low at Rs 1.03 lakh crore by September 30.
The government said leading corporate houses and companies accounted for approximately 77 per cent of the total gross NPAs from domestic operations for the banks.
Among the major public sector banks, State Bank of India (SBI) had 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 private sector lenders, ICICI Bank had the highest amount of NPAs on its books 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). >