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.
Let the Truth be known. If you read VB and like VB, please be a VB Supporter and Help us deliver the Truth to one and all.
Kerala govt to pursue legal route to secure Rs 1,500 crore withheld by Centre over PM SHRI issue
Thiruvananthapuram (PTI): The Kerala government on Tuesday said it would explore both legal and protest avenues to secure over Rs 1,500 crore in funds allegedly withheld by the Centre under various centrally sponsored schemes because Kerala has not signed the PM SHRI scheme memorandum.
State General Education Minister V. Sivankutty said that Kerala will join forces with Tamil Nadu to press for their rightful share. He accused the central government of discriminatory practices.
"I have already spoken to the Tamil Nadu Education Minister twice and will be meeting him next week," Sivankutty told PTI Video, underlining a coordinated effort between the two southern states.
The funds in question have allegedly been held back due to Kerala's refusal to sign a Memorandum of Understanding (MoU) associated with the PM Sree scheme — a central government initiative aimed at upgrading select schools across India.
Minister Sivankutty further cited a Supreme Court judgement in a petition filed by the Tamil Nadu government, which made clear that states are under no legal compulsion to implement the National Education Policy (NEP).
This ruling has opened the door for Kerala to approach the apex court over the denial of its financial entitlement.
"I had personally discussed the issue with the Union Education Minister on two occasions and have also written to the Centre requesting the release of funds owed to the state," Sivankutty said.
"They have even blocked our Samagra Shiksha Kerala (SSK) funds on the same grounds. The Centre has not responded positively, and we are now left with no choice but to pursue legal remedies and organise protests," he said.
Calling for fair treatment, the Minister urged the Union government to recognise Kerala as an integral and significant part of the country and to release the funds that are due.
_vb_45.jpeg)
