MUMBAI: IDBI Bank — the lender with the easiest percentage of bad loans — has reported a net lack of Rs five,662 crore for the quarter ended March 2018 in opposition to a lack of Rs three,199 crore in the corresponding quarter of the former yr. The losses widened as the bank made further provisions of Rs 10,773 crore for the quarter ended March 2018, partly on account of a brand new RBI circular that scrapped all loan-restructuring schemes.
Bank of Baroda — the 3rd greatest public sector lender — also reported a net lack of Rs three,102 crore for Q4FY18 as in opposition to a net benefit of Rs 155 crore in the corresponding quarter of the former yr, again because of bad loan provisions. Adding these two results to the earnings of the 15 banks already reported, the full losses of lenders have now grown to Rs 53,005 crore.
Three more lenders — Bank of India, United Bank and Indian Overseas Bank — are yet to announce results.
IDBI Bank is responding to the loss by way of promoting non-core property comparable to stakes in its mutual fund and lifestyles insurance companies.
It also plans to shut down a few branches and ATMs that are not successful.
Announcing the consequences, the bank’s MD & CEO M K Jain mentioned that the lender would hire vertical heads for information technology, human relations and treasury from the personal sector. He mentioned that the bank also plans to sell non-performing property price Rs 21,000 crore. The bank’s gross NPA soared to 27.95% of its loans at end-March 2018 compared to 21.25% at the end of March 2017. IDBI Bank mentioned that it endured to have loans price Rs 14,000 crore beneath stay up for tension.
Announcing the consequences on Friday, Bank of Baroda MD & CEO P S Jayakumar mentioned that following the provisioning, a number of the usual loans, at the maximum Rs 10,000 crore could be beneath tension and there have been no delinquency in the loans advanced since 2015. “Going ahead, enlargement will probably be just right and there was a dramatic improvement in the high quality of property. The infrastructure that we have got invested in will lead to 20% enlargement in coming quarters,” mentioned Jayakumar.
Bank of Baroda — the 3rd greatest public sector lender — also reported a net lack of Rs three,102 crore for Q4FY18 as in opposition to a net benefit of Rs 155 crore in the corresponding quarter of the former yr, again because of bad loan provisions. Adding these two results to the earnings of the 15 banks already reported, the full losses of lenders have now grown to Rs 53,005 crore.
Three more lenders — Bank of India, United Bank and Indian Overseas Bank — are yet to announce results.
IDBI Bank is responding to the loss by way of promoting non-core property comparable to stakes in its mutual fund and lifestyles insurance companies.
It also plans to shut down a few branches and ATMs that are not successful.
Announcing the consequences, the bank’s MD & CEO M K Jain mentioned that the lender would hire vertical heads for information technology, human relations and treasury from the personal sector. He mentioned that the bank also plans to sell non-performing property price Rs 21,000 crore. The bank’s gross NPA soared to 27.95% of its loans at end-March 2018 compared to 21.25% at the end of March 2017. IDBI Bank mentioned that it endured to have loans price Rs 14,000 crore beneath stay up for tension.
Announcing the consequences on Friday, Bank of Baroda MD & CEO P S Jayakumar mentioned that following the provisioning, a number of the usual loans, at the maximum Rs 10,000 crore could be beneath tension and there have been no delinquency in the loans advanced since 2015. “Going ahead, enlargement will probably be just right and there was a dramatic improvement in the high quality of property. The infrastructure that we have got invested in will lead to 20% enlargement in coming quarters,” mentioned Jayakumar.
Bad debt provisions push IDBI, BoB deeper into red
![Bad debt provisions push IDBI, BoB deeper into red]()
Reviewed by Kailash
on
May 27, 2018
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