Where does the banking sector stand today? Pre-Budget Analysis | In Focus podcast
In Focus by The Hindu
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What Is the Acceptable Net NPA Rate for a Bank?
RBI's prompt corrective action framework says the net NPS should not exceed 6%. That is the threshold where, let's say, RBI does not want you to cross. But typically when we look at internally, we look at the net NPN number in relation to the capital of the bank. So maybe 25 to 30% is a good number to operate on the net NPPs.
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