|Public sector banks continue to be troubled by the issue of rising nonperforming assets (NPA). The bad loans for the banks increased by about Rs. 11,000 crore during the first quarter. The bank NPAs as of June end were Rs. 1.23 lakh crore against Rs. 1.12 lakh crore at the end of the last fiscal.
According to Mr. Namo Narain Meena, Minister of State for Finance, State Bank of India with Rs. 40,756 crore of nonperforming asset was the worst affected banks. Together, the SBI and associate group accounted for Rs. 50,424 crore in stressed assets. He was quoting from RBI data.
Private sector banks also saw a strained asset quality with collective NPAs of Rs. 14,778 crore. ICICI Bank had NPAs worth Rs. 9,544 crore while HDFC Bank and Axis Bank had Rs. 1,832 crore and Rs. 2,006 crore of NPAs respectively.