GNPAs for banks fell 26% in December.

According to data collated by FE, the gross non-performing assets (GNPAs) of Indian banks dropped dramatically by 26%, or Rs 2.14 trillion, to Rs 6.04 trillion as of Q3FY23 from a peak of Rs 8.19 trillion during Q1FY22.
State Bank of India, the country’s largest lender, reported a decline in its gross nonperforming assets (GNPAs), which were down from Rs 1.04 trillion in Q1FY22 to Rs 83,584 crore as of December 31, 2022. From Q1FY22, PSU banks’ GNPAs have decreased overall by Rs 1.53 trillion.
The largest private sector bank, ICICI Bank, saw their GNPAs drop from Rs 43,148 crore during Q1FY22 to Rs 32,528 crore as of December 31. Nonetheless, the absolute GNPAs at HDFC Bank increased from Rs 17,099 crore in the first quarter of FY22 to Rs 18,764 crore as of December 31, 2022. From Q1FY22, the GNPAs of private banks have decreased overall by Rs 60,725 crore.
“India Ratings anticipates that the system’s GNPA and NNPA will be 3.3% and roughly 1%, respectively, in FY24. Due to historical provisions and declining net slippages, provision cover will stay at its present level of roughly 75%, the report stated.

This News is Written by Miss. Ankita, Associate, All India Legal Forum .