Page 8 - Bad Loans

MSMEs urge FM Nirmala Sitharaman to review NPA classification norms

In its suggestions to the finance ministry, the Federation of Indian Micro, Small and Medium Enterprises has said the greatest need that has emerged is the flexibility in assigning NPAs

Govt-owned Indian Bank declares 8 loan accounts as fraud, including IL&FS

Government-owned Indian Bank has declared bad loans amounting Rs 202.32 crore to seven domestic borrowers and $5.289 million lent to a foreign company as fraud

Market in distressed assets may be huge, but deal-making faces headwinds

With the Supreme Court vacating the one-year breather on the filing of insolvency proceedings, it's back to the grind on the bad-loans front

Statsguru: IBC mechanism ready to take up cases after a year-long hiatus

As many as 1,942 cases are currently going on under the Code (as of Septem­ber 2020)

Banks brace for fresh round of war against NPAs

As it prepares to bring to a close the most difficult year in history, the banking industry is gearing up to tackle a fresh bout of bad loans

Bad loan recognition likely to weigh on stocks of public sector banks

Earnings improvement over two quarters was without proportionate lending growth

Transferring bad debt to ARC at book value just window dressing: Experts

Asset valuation should be left to market forces to help attract investors and create a healthy distressed debt market, say experts.

Moratorium verdict: Prepare for shock when a more realistic picture emerges

Loan Moratorium verdict: It also declared that compound interest will not be charged for the period of moratorium.

Best of BS Opinion: No space for SPACs, NSE trading outage, and more

Here's a selection of Business Standard opinion pieces for the day

Resolution of bad loans may face logjam if IBC not streamlined: Experts

Few will go on record explicitly, but there is the fear that there will be a logjam ahead on the IBC front.

SBI to conduct e-auctions of 12 bad accounts this month to recover dues

SBI will conduct e-auctions of 12 bad accounts this month to recover dues of over Rs 506 crore under sale to asset reconstruction company (ARC) mechanism

PSU banks stage a comeback as tactical picks on sustained performance

The combination of low valuations and expected improvement in financials due to lowering credit cost is driving interest

China's bad loan season descends again and this time it may be really bad

The debt of local government financing vehicles and property developers are looking precarious while several trust investment firms are on shaky ground

Covid-19 may push NBFC stressed assets to Rs 1.8 trn by March: Crisil

Regulatory steps like one-time Covid-19 recast window and MSME restructuring scheme will limit GNPAs, says rating agency

Punjab & Sind Bank loss zooms to Rs 2,375 cr in Q3 as provisions spike

Punjab & Sind Bank on Saturday said its net loss in December quarter 2020-21 spiralled to Rs 2,375.53 crore on higher provisions for bad loans. The lender had posted a net loss of Rs 255.49 crore in the same period a year ago. In September quarter also, the bank had a loss of Rs 401.27 crore. Total income in the quarter under review also fell to Rs 1,982.52 crore from Rs 2,077.01 crore in the same period of 2019-20, Punjab & Sind Bank said in a regulatory filing. Net income fell 9.1 per cent to Rs 1,763.10 crore and income on investments was down 12.1 per cent to Rs 455.42 crore. The bank's gross non-performing assets (NPAs) remained high at 13.14 per cent of the gross advances as of December 31, 2020, compared to 13.58 per cent by the year-ago same period. In value terms, gross NPAs or bad loans stood at Rs 8,489.89 crore by the end of December 2020 as against Rs 8,923.49 crore earlier. Net NPAs came down significantly at 2.84 per cent (Rs 1,638.25 crore) as against 8.71 per .

PNB reports net profit of Rs 506 cr in Dec quarter; bad loans down

Total income in the quarter under review rose to Rs 23,298.53 crore as against Rs 15,967.49 crore earlier, PNB said in a regulatory filing

Govt support for bank borrowers softened rise in bad loans: Moody's

The support has averted a sharp asset quality deterioration, Moody's Investors Service said

Spike in India bank's stressed loans slower due to govt measures: Moody's

Ample domestic liquidity, loose monetary policy, moratoriums on loan repayments and government guaranteed loans to small businesses have supported Indian banks' asset quality

SBI Q3 net down 6.93% at Rs 5,196 cr, asset quality improves despite Covid

Net Interest Income up 3.75% to Rs 28,820 cr

India's bad bank plan sparks concern loan prices could be inflated

There are many details about the bad bank that policy makers haven't clarified, including its ownership structure, which makes any analysis challenging