A study of trends line of non-performing assets in public sector banks in India

As far as the present scenario is concerned, the banking industry is in a conversion phase. The Public Sector Banks has account for more than 78 per cent of total banking industry assets. Unlikely they are burdened with excessive Non Performing Assets (NPA), massive manpower and lack of modern technology. It is also dangerous for bank's profitability credibility and economics of scale. Narasimham Committee report recommended various guidelines to RBI in 1993 to identify and reduce of NPAs be treated as national priority. NPA indicated the bankers credit risks and efficiency of allocation of sources. The Financial reforms have helped largely to reduce NPA in Indian Bank Industry. This paper attempts to analyze the performance of different banks. To compare the performance of public sector, private sector and foreign banks selective indicators were taken into considerations. These Indicators were Gross NPAs and Gross Advances.