PSBs power ahead of pvt peers in war on bad loans
mumbai, June 4 -- India's public sector lenders saw a sharp decline in bad assets in 2024-25, outpacing their private sector peers, which continued to add to their non-performing assets (NPA) pile amid rising stress in unsecured credit.
Data from Capitaline showed that public sector banks (PSBs) reported a drop in total bad assets-loans where repayments are overdue by over 90 days-in FY25 and FY24. Bad loans of PSBs decreased 16% year-on-year (y-o-y) to Rs.2.84 lakh crore in FY25, from Rs.3.4 lakh crore in FY24 and Rs.4.3 lakh crore in FY23. In comparison, private banks saw an increase in bad loans by around 2.9% to Rs.1.29 trillion in FY25, up from Rs.1.26 trillion in FY24 and Rs.1.22 lakh crore in FY23.
The analysis covered 19 private sec...
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