Bad loan mounts: Five public sector banks such as Bank of Baroda, UCO Bank, Central Bank of India, Allahabad Bank and Dena Bank on Friday registered a combined net loss of over Rs 6,700 crore for the quarter ended March 2016
Flagging "under-recognition" of bad loans by banks as a concern, ratings agency Moody's said asset quality of the 11 rated PSU banks may face further stress as restructured loans may eventually turn into NPAs.
Rural Electrification Corporation (REC) has invested R1,500 crore in the additional tier-1 (AT-1) bonds or perpetual bonds of Indian Bank, Syndicate Bank and Vijaya Bank, reports Bhavik Nair in Mumbai.
We remain cautious on PSU banks, as we see continued asset quality stress. We think the macro turnaround is not imminent, and this should drive further worsening of the asset quality cycle, with credit costs remaining elevate
According to an official, the regulator did not find anything wrong with its investment pattern in PSU banks. Earlier, the RBI had expressed concern over LIC making huge investments in PSU banks, saying it can “affect the f
Since the financial year ending March 2014, the government has infused Rs 35,547 crore of equity into 21 public sector banks, including State Bank of India (SBI), Bank of Baroda (BoB) and Punjab National Bank (PNB).
Hit by mounting bad loans, three public sector banks, namely Central Bank of India, Allahabad Bank and Dena Bank, reported losses while Punjab National Bank posted a sharp decline in profit for the third quarter of 2015-16.
Concerned over "unacceptable" NPA levels, Finance Minister Arun Jaitley today discussed with PSU bank chiefs the issue of wilful defaulters and said that the lenders have all the powers and autonomy to deal with them.
Government is open to dilute its stake in public sector banks to 52 per cent, Finance Minister Arun Jaitley said and promised more steps to tackle bad loan problems including those involving state power providers.
Finance Minister Arun Jaitley sought parliamentary approval to spend a net additional $4 billion in the current fiscal year, almost half of it earmarked to inject capital into state-run banks struggling with bad debts.
With capital needs for public sector banks pegged at Rs 2.39 lakh crore over the next four years, the Finance Ministry said they have been allowed to raise funds from market to meet capital requirements.
The government intends to provide $9 billion (about Rs 57,000 crore) to public sector banks towards recapitalisation over the next two fiscal to meet global risk norms and for growth, Finance Secretary Rajiv Mehrishi said.