1Ph. D Scholar, Department of Business Administration, Aligarh Muslim University, Aligarh, Uttar Pradesh, India
2Professor, Department of Business Administration, Aligarh Muslim University, Aligarh, Uttar Pradesh, India
Online published on 24 October, 2017.
A strong banking sector is important for flourishing economy. Non-performing assets are one of the major concerns for banks in India. The study is based on secondary data. The paper highlights the trends, status and impact of NPA on PSBs profitability during the period of 7 years i.e. from 2009 to 2015. Several research journals including research papers and articles have been stated by the researchers. Moreover, RBI Reports on Trend and Progress of Banking in India for various years and websites have been referred during the study. The data were analyzed using descriptive statistics; simple regression model and correlation by using SPSS software version 20 and the Return on Assets (ROA), Return on equity (ROE) and Net Interest Margin (NIM) were used as financial performance variables and NPA as independent variable. The findings and analysis reveal that the NPA impact negatively on public sector bank's financial performance in the period under study.
Public Sector Banks, Non Performing Assets, Return on assets, Return on Equity, Net Interest Margin
