Title: Non-performing assets - an important parameter of measuring the financial soundness of banks

Authors: Sulagna Das; Amar Kumar Mishra; Somnath Paul

Addresses: JIS University, Kolkata (WB), India ' Department of Management Studies, Graphic Era (Deemed to be University), Dehradun, India ' New Delhi Institute of Management, New Delhi, India

Abstract: Non-performing asset has been a big issue in the banking sector for a long time. In recent years, this has gone down due to the recovery and other measures adopted by the Government of India. The present paper studies the non-performing assets of the public sector banks, private sector banks and scheduled commercial banks, arising in both priority and non-priority sectors in India. The paper is divided into three parts. The first part observes the trend of non-performing assets occurring in the priority and non-priority sector, in case of the three bank groups. The second part analyses if there is any difference in the gross non-performing asset occurrence pattern between and within the bank groups, for priority sector and non-priority sector lending. The third part of the paper analyses if there is any impact of the gross non-performing asset on the gross advances in priority sector and non-priority sector.

Keywords: non-performing assets; priority sector; non-priority sector.

DOI: 10.1504/IJSOM.2023.132860

International Journal of Services and Operations Management, 2023 Vol.45 No.4, pp.514 - 529

Received: 04 Feb 2021
Accepted: 04 May 2021
Published online: 13 Aug 2023 *

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