Volume : III, Issue : IV, April - 2014

Performance of Non–Performing Assets in Commercial Banks – An Analytical Study

Dr. M. A. Suresh Kumar, J. Vijayakumar

Abstract :

In the liberalized economy, Banking and Financial sector get high priority. The banks in India are facing the problem of Non-Performing Assets (NPAs). The earning capacity and profitability of the banks are highly affected because of the existence of NPAs. Moreover the non-performance or non-receipt of interest and principal blocked banks money in the form of funds and is not available for further use of banking business and thus the profit margin of the banks goes down. In this connection bank must aware of the problems and recovery legislations of NPAs. This study explored meaning of various NPA indicators; Gross NPA, Net NPA, Additions to NPA, Reductions to NPA and Provisions towards NPA. It is necessary to trim down NPAs to improve the financial health in the banking system. 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.

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Article: Download PDF   DOI : 10.36106/ijsr  

Cite This Article:

Dr. M.A.Suresh Kumar, J. Vijayakumar Performance of Non-Performing Assets in Commercial Banks - An Analytical Study International Journal of Scientific Research, Vol.III, Issue. IV Apr 2014

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