Finance Minister Arun Jaitley is scheduled to meet the heads of public sectors banks (PSBs) on Tuesday as part of the annual financial performance review exercise.
Finance Minister Arun Jaitley is scheduled to meet the heads of public sectors banks (PSBs) on Tuesday as part of the annual financial performance review exercise. A host of issues including progress made in resolving NPAs are likely to be discussed, PTI reported citing unidentified sources. The meeting also holds significance since it comes days after merger of three public lenders namely Bank of Baroda, Vijaya Bank and Dena Bank.
The issues of credit growth and bad loan scenario may also be taken up in the meeting, PTI sources said. The efforts to recover bad loans have been stepped up by the government recently, the sources added.
A cash recovery of Rs 36,551 crore has been made by the banks in the first quarter of the current fiscal which is 49 per cent higher than the same quarter of the last fiscal. The banks recovered Rs 74,562 crore during 2017-18.
According to the PTI sources, the meeting would also review priority sector lending and and progress made under various social sector schemes, including Atal Pension Yojana (APY) and Pradhan Mantri Jan Dhan Yojana (PMJDY).
In 2017-18, the cumulative loss of public sector banks crossed Rs 87,357 crore, with fraud-hit Punjab National Bank leading the chart with a hit of nearly Rs 12,283 crore, followed by IDBI Bank.
Only two banks namely Indian Bank and Vijaya Bank reported profits in 2017-18 out of the 21 government-owned banks.