Centre’s Claims Of NPA Reduction Of PSBs Do Not Add Up
The government claims that NPAs of public sector banks or PSBs have gone down by Rs 89,189 crore in FY19. In the current session of the Lok Sabha, Finance Minister Nirmala Sitharaman has presented NPA’s figures before the House. The Finance Minister quoted RBI’s data that NPAs of PSBs stood at Rs 8,95,601 crore in the FY18.
According to the Finance Minister, NPAs of PSBs has reduced to Rs 8,06,412 crore by the end of FY19.
Is the decline in NPAs of PSBs correct? GoNews has studied the data presented by the Finance Minister and Minister of State, Finance, Anurag Thakur, in the House in response to two separate questions. Finance Minister Nirmala Sitharaman claimed that the Public Sector Banks or PSBs have recovered a sum of Rs 1,23,156 crore during the Financial Year 2018-19, from NPA accounts. In response to another query, Minister of State, Finance, answered that PSBs have written-off bad loans of Rs 196,844 crore during the same financial year (2018-19). Going by the data presented by both ministers in the Lok Sabha, total NPAs should have been Rs 575,601 crore instead of Rs 806,412 crore. If NPA of PSBs stand at Rs 806,412 crore, it is obvious that the total NPAs of PSBs has risen by Rs 2,30,811 crore in Financial Year 2018-19. This is a simple mathematical calculation, not rocket science.
Is the decline in NPAs of PSBs correct? GoNews has studied the data presented by the Finance Minister and Minister of State, Finance, Anurag Thakur, in the House in response to two separate questions. Finance Minister Nirmala Sitharaman claimed that the Public Sector Banks or PSBs have recovered a sum of Rs 1,23,156 crore during the Financial Year 2018-19, from NPA accounts. In response to another query, Minister of State, Finance, answered that PSBs have written-off bad loans of Rs 196,844 crore during the same financial year (2018-19). Going by the data presented by both ministers in the Lok Sabha, total NPAs should have been Rs 575,601 crore instead of Rs 806,412 crore. If NPA of PSBs stand at Rs 806,412 crore, it is obvious that the total NPAs of PSBs has risen by Rs 2,30,811 crore in Financial Year 2018-19. This is a simple mathematical calculation, not rocket science.
Latest Videos
