Indian banks on top of situation over NPA problem: SBI Chairman
New York, Oct 29 : Indian banks are now "on top of the situation" on the problem of the non-performing assets (NPA), State Bank of India Chairman Rajnish Kumar said.
Kumar said that going by the initial results that have started coming in September, it seems that many banks are returning to profit.
Elaborating further on the issue of NPAs, Kumar said last year the system was struggling with higher and elevated NPAs and largely it was the steel and power sectors that got impacted the most.
"The major challenge which the banks - public sector more and some of the private sector banks (in India) - they have been facing is the asset quality challenge. For the last three years, it has been going on but as of now we are now on top of the situation on the NPA problem," Kumar told PTI in an interview here.
"In the power sector, the banks have still not been able to resolve the issues. But the Insolvency and Bankruptcy Code has helped the banks and at least now there is a solution available," he said.
Kumar added that the Insolvency and Bankruptcy Code has come as a "very good tool" in the hands of the banks and the financial creditors.
On the value of the rupee, which had this month fell below the 74 level compared to the dollar, Kumar said, "If the oil prices are stabilized, the exchange will also stabilize Domestic inflation is not as much a cause of worry because it is very much well within the target that the Reserve Bank of India has set."
He said domestically, the economy continues to do well but the oil prices are the "major culprit" because that impacts the country's current account deficit in a big way and it puts pressure on the exchange rate.
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Kerala leader M A Baby elected CPIM general secretary
Madurai(PTI): Former Kerala minister M A Baby was elected as the CPI(M) general secretary at the 24th party congress here on Sunday, sources said.
A section of the party leaders had backed All India Kisan Sabha (AIKS) president Ashok Dhawale for the post.
Born to P M Alexander and Lilly Alexander in Kerala's Prakkulam in 1954, Baby's first exposure to politics came when he joined the Kerala Students Federation, the predecessor of the Students Federation of India, during his school days.
He was a member of the Rajya Sabha from 1986 to 1998.
Baby has been a member of the Politburo, the highest decision-making body of the CPI(M), since 2012.
The post of the party general secretary fell vacant following the death of Sitaram Yechury last year, after which Prakash Karat took over as the interim coordinator.
The 24th party congress of the CPI(M) began on April 2 and will end on Sunday.
