SBI fears more strain on asset quality

Tags: News
Country's largest commercial bank State Bank of India (SBI) today expressed apprehension that the bank's asset quality might deteriorate further due to contraction in factory output.

"The contraction in factory output as indicated by falling IIP will put additional pressure on banks, including SBI, on the asset quality," bank's managing director A Krishna Kumar said here at the launch of a specialised MSME branch.

He indicated that the stress on manufacturing sector and mid-corporates would continue and this would definitely put pressure on asset quality.

"SBI and other banks as well are trying to identify the stress assets," Kumar said, adding "we wish to identify the stressed assets and help those units which are showing signs of stress so they do not become non-performing," the official said.

SBI's gross NPA fell to 5.64 per cent of total advances as on September 2013.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • Child abuse needs to be tackled with the seriousness it deserves

    The Bangalore rape case has again brought into focus an issue we Indians forever shy away from facing up to — child sexual abuse.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Varun Dutt

<b>Riskfactor</b>: THE BASE RATE BIAS

Base rate fallacy, also called base rate neglect or base ...

Parvez Imam

Revisiting history can do us all good

We often think that we understand history. We read it ...

Bubbles Sabharwal

Your happiness doesn’t depend on your needs

They are two different words (and even worlds) altogether: having ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture