Banks are one of the most important parts of financing sector of an economy. Smooth functioning of an economy depends a large upon its financial sector. Hence, this sector must keep itself hale & hearty in order to make the economy prosper. But these days, banking sector is facing a problem of increasing bad loans, which has shattered its functioning. Non-performing Asset is a loan which has stopped yielding any kind of income to the bank, either in the form of interest or instalment or both. Current paper is an attempt towards how the banks manage this mounting NPA. Different methods are there for resolving the problem of NPA. Some of them are Lok Adalats, DRTs, SARFAESI etc. Apart from these some techniques applied are restructuring of loan accounts and Corporate Debt Restructuring(CDR) etc. This paper focuses on how much these channels have been beneficial for the banks.
KEY WORDS: NPA, Management, CDR, DRT
1.Kaur, Harpreet & Saddy N.K.(2011). “A comparative study of Non-performing Assets of Public Sector Banks and Private Sector banks.” Retrieved from International Journal of Research in Commerce and Management. Vol. No. 2. Issue no. 9. ISSN 0976-2183.
2. Selvarajan B. & Vadivalagan G.(2013). “A study on management of NPA in Priority sector reference to Indian bank and Public Sector banks.” Retrieved from Global Journal of Management and Business Research. Vol. 13. Issue 1. ISSN:2249- 4588.
3.Barge, Anuja(2012). “NPA management in banks: An Indian perspective.” Retrieved from Innovation in Banking and Finance. ISSN: 2348- 5922.
4.Garg, Ankit (2016). “ A study on Nonperforming Assets in context of Indian Banking System.” Retrieved from International Journal of Engineering Technologies and Market Research. Vol. 3.Issue 11. ISSN:2454-1907.
5. Jagan, D. & Rao Mohana(2014). “Management of Non-performing Asset problems.” Retrieved from International Journal of Management and Business studies. Vol. 4. Issue1. ISSN: 22309519.