Bank NPAs likely to drop to 8% by March 2020, says CRISIL report

State-owned banks, which account for 80 per cent of the NPAs in the banking system, will see their gross NPAs shrinking 400 bps to 10.6 per cent by March 2020, down from 14.6 per cent in March 2018

On account of higher recoveries from big-ticket stressed assets and slow accretion of fresh non-performing assets (NPAs), the asset quality of banks will improve significantly, with gross NPAs shrinking 350 basis points (bps) to 8 per cent by March 2020, stated a report by credit rating agency Crisil.
 
In March 2018, NPAs in the banking sector was at 11.5 per cent and then it gradually came down to 9.3 per cent in March 2019.
 
State-owned banks, which account for 80 per cent of the NPAs in the banking system, will see their gross NPAs shrinking 400 bps to