Fresh lending dries up at Dena Bank; Q4 net loss widens to Rs 12.25 bn

Dena Bank, in a filing with the BSE, said the RBI had restricted it from assuming a fresh credit exposure and recruiting

Public sector lender Dena Bank will virtually stop lending to new borrowers, after the Reserve Bank of India (RBI) put further restrictions on providing fresh credit exposure and staff recruitment.

The Mumbai-based lender is without a managing director and chief executive officer after Ashwani Kumar demitted office last year. Currently, Senior Executive Director Ramesh Singh is in charge.

The bank is under RBI-mandated prompt corrective action (PCA) since May 2017 due to high net non-performing assets and negative return on assets (ROA). It has posted losses for two financial years in a row.

Dena Bank, in a filing with the BSE, said the