Taking steps to reduce NPAs: SBI

Tags: NPAs, SBI, Banking
State Bank of India is taking initiatives to reduce bad loans which have reached 5.73%, SBI Managing Director and Group Executive (National Banking), A Krishnakumar has said.

All zones have been directed to tighten the recovery of debts and reduce Non-Performing Assets (NPAs), or bad loans, substantially, he said.

"Even the major clients including the airline operators would not be spared and legal action have been already initiated," he told reporters on the sidelines of a function here last evening.

Faced with rising bad loan problems, the country's largest lender last month had announced a new roadmap which will limit slippages and also give early warning on stressed assets.

On consolidation/merger of subsidiaries of the SBI, Krishnakumar said it has been decided in-principle and as a policy to consolidate the subsidiaries. But as of now, it is not being taken up.

"Every year, till financial 2015-16, we want to start 1,000 branches across the country, apart from the 15,550 branches we are having," he said.

"This year we have so far started 700 branches and 300 branches would be opened before March 2014." He said 35-40% staff would retire, or take retirement in the next five years, and vacancies would be filled. He said 50% of the new recruits of the bank were women, and the bank was preparing to start more all women branches in the country.

There were 180 branches/outlets abroad, and they accounted for 15 to 20% of the bank's business, he said on the sidelines of a meeting organised to disburse benefits under the corporate social responsibility initiative of the bank in Madurai,Tiruchirappalli,and Coimbatore zone.

He said 65% of the 37,000 ATMs of the bank were onsite machines.

EDITORIAL OF THE DAY

  • HDFC Bank has triggered market competition by lowering base rate

    Even nine months after the Reserve Bank of India (RBI) changed its monetary stance and started reducing key policy rates, both public and private sect

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

Sarthak Raychaudhuri

vice-president, HR, Asia South Whirlpool of India

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

TODAY'S COLUMNS

Roopen Roy

Startups to bring change for good

It is a widely held belief that our new generation ...

Rajgopal Nidamboor

The quest for the greater self

All of us have our own outlook, or view, of ...

Dharmendra Khandal

Elephants are killed for those ivory bangles

Wildlife lovers always curse China for making products out of ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture