Mumbai: The gross non-performing assets ratio for Indian banks fell further to a ten-year low of 3.9 per cent as of March 2023, the Reserve Bank said Wednesday.
In the bi-annual Financial Stability Report (FSR) released Wednesday, the central bank said the GNPAs are expected to improve further to 3.6 per cent in the baseline scenario.
The banking and corporate sector balance sheets have been strengthened, engendering a ‘twin balance sheet advantage’ for growth, RBI Governor Shaktikanta Das said in his foreword to the report.
He stressed the need for international cooperation and regulatory focus to tackle challenges like cyber risk and climate change.
“Financial stability is non-negotiable, and all stakeholders in the financial system must work to preserve this at all times,” Das said.
Amid events like some of the banks facing severe stress or even going down globally, Das underlined the need to be watchful, and added that the financial sector regulators and regulated entities in India are committed to stability.
PTI