The Reserve Bank of India released the Report on Trend and Progress of Banking in India 2019-20, in which it says while co-op banks did better, UCBs performed poorly.
The broad theme of this year’s report is the impact of COVID-19 on banking and non-banking sectors, and the way forward. The highlights of the Report says:
“The balance sheet growth of Urban Co-operative Banks (UCBs) moderated in 2019-20 on lower deposit accretion and muted expansion in credit; while their asset quality deteriorated, increased provisioning resulted in net losses”, says the report
The performance of state co-operative banks improved, both in terms of profitability and asset quality.
GNPA ratio of banks declined to 7.5% in September, says RBI Trend and Progress report
During 2019-20 and first half of 2020-21, scheduled commercial banks (SCBs) consolidated the gains achieved after the turnaround in 2018-19, the RBI report said. December 29, 2020 / 06:01 PM IST
Scheduled Commercial Banks’ (SCBs)gross non-performing assets (GNPA) ratio declined from 9.1 percent at end-March 2019 to 8.2 percent at end-March 2020 and further to 7.5 percent at end-September 2020, the Reserve Bank of India (RBI) said in its Report on Trend and Progress of Banking in India 2019-20 on December 29.
Further, the capital to risk weighted assets (CRAR) ratio of SCBs strengthened from 14.3 percent at end-March 2019 to 14.7 percent at end-March 2020 and further to 15.8 per cent at end-September 2020, partly aided by recapitalisation of public sector banks (PSBs) and capital raising from the market by both public and private sector banks, the RBI said.
The Reserve Bank of India released the Report on Trend and Progress of Banking in India 2019-20, a statutory publication in compliance with Section 36 (2) of the Banking Regulation Act, 1949. This Report presents the performance of the banking sector, including co-operative banks, and non-banking financial institutions during 2019-20 and 2020-21 so far. The broad theme of this year s report is the impact of COVID-19 on banking and non-banking sectors, and the way forward.
During 2019-20 and first half of 2020-21, scheduled commercial banks (SCBs) consolidated the gains achieved after the turnaround in 2018-19, the report noted. SCBs gross non-performing assets (GNPA) ratio declined from 9.1 per cent at end-March 2019 to 8.2 per cent at end-March 2020 and further to 7.5 per cent at end-September 2020. Capital to risk weighted assets (CRAR) ratio of SCBs strengthened from 14.3 per cent at end-March 2019 to 14.7 per cent at end-March 2020 and further to 15.8 per cent at end-September
Banks GNPA ratio declines to 7.5% at September-end: RBI report
By IANS |
Published on
Tue, Dec 29 2020 20:36 IST |
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Reserve Bank of India (RBI). (File Photo: IANS). Image Source: IANS News
Mumbai, Dec 29 : India s scheduled commercial banks (SCBs) consolidated their gains achieved after the turnaround in 2018-19 during 2019-20 and first half of 2020-21, the Reserve Bank of India (RBI) said in a report.
As per the report on Trend and Progress of Banking in India 2019-20 , the SCBs gross non-performing assets (GNPA) ratio declined from 9.1 per cent at end-March 2019 to 8.2 per cent at end-March 2020 and further to 7.5 per cent at end-September 2020.
RBI extends deadline for urban co-ops by 6 months
December 27, 2020
No need for BoM after amendment in Banking Act, say bankers
The Reserve Bank of India (RBI) has extended the timeline for constitution of Board of Management (BoM) by Urban Co-operative Banks (UCBs) by six months till June 30, 2021.
The central bank has conveyed the extension in the timeline to state UCB Federations, including the Gujarat Urban Co-operative Banks Federation Ltd (GUCBFL).
While welcoming the breather for UCBs, Jyotindra M Mehta, Chairman, GUCBFL, observed that since the Banking Regulation Act has been amended, conferring greater powers on the Reserve Bank of India (RBI) in dealing with cooperative banks, the BoM requirement should be done away with.