Essay on Npa(Non Performing Asset) - 30881 Words.

An asset is classified as non- performing asset (NPA) if dues in the form of principal and interest are not paid by the borrower for a period of 180 days. How ever with effect from March 2004, default status would be given to a borrower if dues are not paid for 90 days.

The Non-Performing Assets (NPAs) problem is one of the foremost and the most formidable problems that have shaken the entire banking industry in India like an earthquake. Like a canker worm, it has been eating the banking system from within, since long. It has grown like a cancer and has infected every limb of the banking system.

NPA is one kind of obstacle in the success of bank and affects the performance of banks negatively so, for that the management of NPA in bank is necessary. V.R SINGH in his paper titled A Study of Non-Performing Assets of Commercial Banks and its Recovery in India has aimed to study the status of Non-Performing Assets of Indian Scheduled Commercial.

NPA is a term used by financial institutions for loans that are in jeopardy of default. Once the borrower has failed to make interest or principle payments for 90 days the loan is considered to be a non-performing asset of the lender. Non-performing assets are worrisome for financial institutions since they depend on interest payments for income.

Npa of Thane Bharat Sahakari Bank 2 February 2017 Scope of the Study ( Concept of Non Performing Asset ( Guidelines ( Impact of NPAs ( Reasons for NPAs (Preventive Measures ( Tools to manage NPAs Scope of the Project (Study of NPAs in Indian Banking sector ( Involves study of sector not particular bank ( focus on NPAs not Banking Sector ( will not inculd any amendment after Feb. 2005.

Non Performing Assets (NPA) - Impacts and Measures Adopted to Tackle NPA Non Performing Assets is not a new problem faced by banks. Hence there have been continuous efforts on the part of Government of India and Reserve Bank of India (RBI), over the years to tackle the problem of Non Performing Assets.

What is a Non-Performing Asset (NPA)? It is an asset, which is classified as loans or advances that are in default or are in arrears on scheduled payments of principal or interest. Generally any asset which stops giving returns to its investors for a specified period of time is also known as Non-Performing Asset (NPA).

Definition: A non performing asset (NPA) is a loan or advance for which the principal or interest payment remained overdue for a period of 90 days. Description: Banks are required to classify NPAs further into Substandard, Doubtful and Loss assets. 1. Substandard assets: Assets which has remained NPA for a period less than or equal to 12 months. 2. Doubtful assets: An asset would be classified.

Growing non-performing assets is a recurrent problem in the Indian banking sector. Over the past two decades, there have been two such episodes when the banking sector was severely impaired by balance sheet problems. A comparative analysis of two banking crisis episodes— one in the late 1990s.

NPA hurts funds over banks in capital markets. The government of India propounds many policy and rules to decrease and control over non-performing assets. Non-performing assets are the only reasons to fall on revenue. The object of this comparison between the private sector banks and public sector banks is to outcast the impact between them and.

The aggregate net non-performing asset of the bank is on an upward trend. But taking on a yearly basis, not much trend could be identified out of the four years of data considered for analysis, net non-performing asset, increased at an increasing rate registering an increase of 14% and 18.5% respectively.

The paper examines the determinants of non-performing assets (NPA) of Indian scheduled commercial banks during the period 2007 to 2014, and adds to the non-performing assets literature in three ways. Firstly, unlike previous studies, our study used a comprehensive list of as many as 31 financial indicators.