Banks' gross NPAs to rise 3-fold: CLSA

 


Source  : The Financial Express : Nov 29, 2011 at 1215 hrs IST
Gross non-performing assets (NPAs - loans gone bad) of Indian banks are likely to rise three-fold to 4.6 percent by March 2014 from 2.4 percent in March 2011, said CLSA
.

Multiple headwinds to capital expenditure cycle in the country will adversely impact loan and fee growth of the banks. The research house expects the sector's credit growth to moderate to 16 percent over FY13.

We lower sector earning estimates for banks by 3 percent for FY12 and 9 percent for FY13 on the back of a cut in loan growth and fee growth as well as higher loan loss provisioning, said CLSA in a note.

The research house remains bullish on prospects of ICICI Bank and HDFC Bank and is underweight on most public sector banks except Bank of Baroda.

Debt recovery camp held

Source ; The Hindu :27 Nov 2011






A sum of Rs.9.68 lakh was recovered from 30 customers
 at a debt recovery camp 
organised by the State Bank of India at Pavunjur recently.


 Regional Manager – V, Chennai, M.Vijayakumar 
said fresh loans would be sanctioned and 3 per cent subsidy 
would be extended for the financial year 2011-12 for
 those who make prompt repayment of loans.