Marginal increase in stressed assets: Canara Bank

Marginal increase in stressed assets: Canara Bank

Canara Bank reported a loss of Rs 2,813 crore for the fourth quarter ended March 31, 2016, on account of rise in NPAs and higher provisioning.

The provisioning on account of NPAs has increased to Rs 9,608 crore during 2015-16 from Rs 3,771 crore during 2014-15.

Gross NPAs and net NPAs are at 9.40% and 6.42%, respectively.
However, there is only a marginal increase in stressed assets that include NPAs (non-performing assets) and standard restructured assets, which stand at 13.28% from 11.91%. The SMA-2 (special mention accounts) accounts stand at only Rs 5,476 crore, which is 1.66% of total assets, the bank said in a release.

The management has stated that the bank is working on reorientation towards retail business, digitalisation and transformation. CASA deposits have grown by 8.82% and CASA ratio has improved from 25.47% as on March 31, 2015 to 27.38% as on March 31, 2016. The share of retail term deposits in total term deposits has increased from 48.5% to 56.5%. 

The share of retail, SME and agriculture loans has increased from 49% to 58% during the year.

DH Newsletter Privacy Policy Get top news in your inbox daily
GET IT
Comments (+)