10 Public Sector Banks account for half the NPA's of the Banking Sector

 

For every Rs 100 parked in shares of public sector banks, investors carry the burden of Rs 150 as bad loans, which have cumulatively ballooned to Rs 4 lakh crore or 1.5 times the market value of these lenders.

In comparison, bad loans of private sector banks are just about 6.6 per cent of their total valuation.

In case of PSU banks, if loans that face the risk of being declared NPAs (Non Performing Assets) going ahead are also taken into account, their overall stressed adva ..

For every Rs 100 parked in shares of public sector banks,investors carry the burden of Rs150 as bad loans,which have cumulatively ballooned to Rs 4 lakh crore or 1.5 times the market value of these lenders

The Gross NPA's of the banking sector estimated at 5% of total loans and the overall stressed assets(including declared and potential bad loans)are estimated at 11%

Except for SBI and a few smaller banks,all listed public sector banks have gross NPA's in excess of their market capitalisation

As per RBI,an asset becomes NPA when it ceases to generate income for the bank.The banks need to declare a loan as NPA which remains overdue for more than 90 days

For every Rs 100 parked in shares of public sector banks, investors carry the burden of Rs 150 as bad loans, which have cumulatively ballooned to Rs 4 lakh crore or 1.5 times the market value of these lenders.

In comparison, bad loans of private sector banks are just about 6.6 per cent of their total valuation.

In case of PSU banks, if loans that face the risk of being declared NPAs (Non Performing Assets) going ahead are also taken into account, their overall stressed adva ..

For every Rs 100 parked in shares of public sector banks, investors carry the burden of Rs 150 as bad loans, which have cumulatively ballooned to Rs 4 lakh crore or 1.5 times the market value of these lenders.

In comparison, bad loans of private sector banks are just about 6.6 per cent of their total valuation.

In case of PSU banks, if loans that face the risk of being declared NPAs (Non Performing Assets) going ahead are also taken into account, their overall stressed adva ..