Sharp rise in fresh slippages at Central Bank of India across segments

Sharp rise in fresh slippages at Central Bank of India across segments

In the last quarter, the bank reported slippages of Rs 1,175 crore, compared to Rs 643 crore in the previous quarter.

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Central Bank of India Reports Increase in Non-Performing Assets Across Multiple Sectors

Central Bank of India, a PSU lender, reported new bad loans from various sectors like MSMEs, retail, corporate, and agriculture in the last quarter of the fiscal year 2023-24. MV Rao, the MD and CEO, disclosed these during an analyst conference call. A loan turns into a non-performing asset (NPA) if there’s no repayment of interest or principal for 90 days. Banks must reserve funds as provisions to cover such loans.

Slippages reported by Central Bank in Q4FY24:

SEGMENT RS CRORE
MSME 292
Agriculture 200
Corporate 170
Retail 135

In the last quarter, the bank reported slippages totaling Rs 1,175 crore, up from Rs 643 crore in the previous quarter. The bank’s slippage ratio for March 2024 was 0.57%, down from 0.70% a year earlier. The Central Bank aims for a quarterly slippage ratio below 0.50% for the current fiscal year. The bank’s gross non-performing assets (NPA) ratio remained steady at 4.50% compared to the previous quarter and declined from 8.44% a year ago.

 

 

 

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