Preview

Non Performing Asset

Powerful Essays
Open Document
Open Document
10063 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Non Performing Asset
CHAPTER: 1

EXECUTIVE

SUMMARY

Executive Summary

A project has been prepared under the title of ‘Non Performing Assets in Surat’.
First of all the information regarding the banking industry is given. In that various facts regarding the bank industry is being provided. Also the various types of non performing assets.
The brief introduction of non performing assets is given. In this the definition, various benefits, objective, limitation etc. are mentioned. Then a analysis of data is made.
Then the objective of doing the project is mentioned.
After that analysis comes. At the last me find Conclusion & Suggestion. Then comes “facts and finding” part. In this part first of all the details about the non performing assets by me is given. Then a comparison is made among the three companies selected by me on various parameters.

CHAPTER: 2

RESEARCH

METHODOLOGY

RESEARCH METHODOLOGY

Research is a one kind of process to get knowledge about some topic. Research is done so that systematic analysis can be done and problem can also be solved.

TITLE OF STUDY Here it is “NON-PERFORMING ASSETS”

BENEFITS FROM THE STUDY

©. It helps me to know more about NPA and the situation of NPA in bank. ©. It helps me to know the strategies adopted by banks to reduce the NPA level and to understand the NPA provisions norms in bank.

RESEARCH PROBLEM NPA always affect the profit of bank and also the prestige of bank. So here the research problem is to identify the causes for the NPA and to identify the action plan to reduce the NPA.

RESEARCH DESIGN Here the research design is exploratory which helps me to explore the NPA problem of bank.

RESEARCH INSTRUMENT As a research instrument I have taken guidance from the CEO of City bank and also my faculty of college.
DATA COLLECTION ( Primary Data ( Secondary Data
Hence it is an exploratory research their is not any dependence on primary data.
Sources of secondary

You May Also Find These Documents Helpful

  • Powerful Essays

    The purpose of this report is to analyze how various factors affect the banking industry.…

    • 1871 Words
    • 10 Pages
    Powerful Essays
  • Better Essays

    In depressed economic times, Banking is an industry that is prone to substantial financial losses, from customer’s closing their depository account to an increase in outstanding loan delinquency. An increase in consumer and commercial loan defaults can damage the integrity of a Bank’s outstanding loan portfolio. Such deterioration can lead to an increase of “Non-Performing Assets”.…

    • 1661 Words
    • 7 Pages
    Better Essays
  • Powerful Essays

    Punjab National Bank

    • 18172 Words
    • 73 Pages

    Since the banker is carrying his business with other people’s money, he cannot be reckless in investing his funds. So the bank has to build up its resources in such a way that it will have adequate income to pay interest at the prescribed rates to different kind of depositors, meet establishment expenses, build reserves, pay dividend to the shareholders etc. Further the banker cannot be free in deciding the manner in which the funds are to be deployed. The legal requirements, directions issued by RBI and other social obligations consistent with the national objectives are very relevant to the operations of a bank. So in order to obtain the goals of the bank, their financial resource must be utilised affectively. Financial analysis is necessary to understand the financial performance. Financial statements are prepared to depict financial position of a concern.…

    • 18172 Words
    • 73 Pages
    Powerful Essays
  • Powerful Essays

    I declare that the Project entitled (“Non Performance Assets Management”) is a record of independent work carried out by me under the supervision and guidance of (Mr. Tariq Ahmad Deputy Branch Head in J & K Bank). This has not been previously submitted for the award of any other diploma, degree or other similar title.…

    • 15332 Words
    • 53 Pages
    Powerful Essays
  • Satisfactory Essays

    The issue of non-performing assets (NPAs) in the fast expanding retail segment has started haunting the the domestic banking industry. The recent phenomena like high real estate prices, the rising interest rates and falling Sensex where a great deal of funds out of personal loans have been invested will impact the sticky assets in the retail segments, said a chief of public sector bank.. For a quality asset player like HDFC Bank though ratio of gross non-performing assets (NPAs) to total customer assets was 1.17 % in 2005-06 as against 1.47% as of March 31 2005, there has been an increase in NPAs in absolute terms during the year. Increases in NPAs during the year were primarily related to the deliquencies in various loan products, said the bank's annual report for 2005-06. However, these deliquencies and NPAs were within the expected levels for each of the retail assets products given the seasoning of the retail portfolio. The net non-performing assets (gross non-performing less specific loan loss provisions , interest in suspense and ECGC claims received) were 0.44% of the net advances and 0.36 % of customer assets as of March 31 2006 as against 0,24 % and 0.20 %, respectively as of March 31, 2005 reflecting the higher proportion of retail loans in the bank's loan book and changing mix of retail loan portfolio. Also according Prakash P Mallya, chairman & managing director, Vijaya Bank the frauds have taken place mainly in the housing loan segment. Thoogh it has not reached alarming proportions but the level of non performing assets (NPAs) in the housing loan space was going up year after year. "That is the reason why RBI also in its last credit policy have asked us to increase the risk weight to assets. That is also the reason the rates (in housing loan) have also gone up,'' he said. The banks normally ask their legal departments to give legal opinion on a particular property, on which they are going to give housing loan. "We advance money based on their opinion.…

    • 401 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    6.1 6.2 6.3 6.4 6.5 Introduction Concept Of NPA And Its Importance In Banking Sector Common - Size Analysis Of The Selected UCBs Common – Size Analysis Of PA And NPAs Of The Selected UCBs Taken Together Ratio Analysis Of The Selected UCBs Taken Together 6.5.1 6.5.2 6.5.3 6.5.4 6.5.5 6.5.6 6.5.7 6.5.8 6.5.9 6.6 Gross NPA ratio Net NPA ratio Problem Assets ratio Depositors‟ Safety ratio Share Holders Risk ratio Provisions ratio Sub – standard Assets ratio Doubtful Assets ratio Loss Assets ratio 153 134 131 131 132 132…

    • 4251 Words
    • 18 Pages
    Powerful Essays
  • Powerful Essays

    Abstract: The researcher will try to analyze about the past, current, and future financial condition and make a…

    • 4458 Words
    • 18 Pages
    Powerful Essays
  • Powerful Essays

    Introduction : Modern banks play an important role in the economic development of a country. Commercial banks are the primary contributors to the economy of a country. Commercial banks are profit making institutions that holds the deposits of individuals and business. As banks are profit earning concerns, they collect deposit at the lowest possible cost and provide loans and advances at higher cost. The differences between two are the profit for the bank. The banks also role plays the human resources development. Banking is service oriented organization. Efficacy of customer service is related with progressive operation. According to the operational activities this report wills describe the scenarios based on the three months internship program in the Uttara Bank Ltd. Kalabagan branch.…

    • 6432 Words
    • 26 Pages
    Powerful Essays
  • Powerful Essays

    The economy of nation depends on the uses of available resources in efficient way. The proper utilization of assets appreciates in wealth position of individual and country as well. To mobilize available resource, there should be proper planning, efficient management, far sighting strategy, good financial management and up-to-date information. Integrated and speedily development of the country is possible only when competitive banking and financial service reaches nook and corners of the country. To grow financial activities, it requires the banking habit of the community as well as potentially strong lending opportunities. Simply, Bank is an institution whose main function is to accept deposit and invest it. Bank collects money from public by providing attractive sound interest and can earn profit by lending it on mainly in business organization, industrial, agricultural sectors etc. So, we can say the main task of commercial bank is to mobilize idle resources in productive areas by collecting it from scattered sources and generating profit. Banking plays significant role in the economic development of country. Banks role as intermediaries channeling between saving and investment and fulfill the credit needs of customer as well as investment requirement of savers. It is clear that efficient and stable banking systems are crucial for an orderly economic growth. The pace development of country largely depends on the level of financial development.…

    • 4312 Words
    • 18 Pages
    Powerful Essays
  • Better Essays

    Npa, Npa Assets

    • 996 Words
    • 4 Pages

    * The recent report on the statistics of non performing assets (npa) in sbi states that it witnessed an unexpected rise in the percentage of NPA. Other public sector banks excluding SBI experienced a rise of 10.5% till March 2012. On the other hand, some of the banks of the country such as Punjab National Bank, Punjab and Sind Bank, Central Bank of India and Indian Bank reported a massive increase in the nonperforming assets that were above 35% in gross magnitude in the same fiscal.…

    • 996 Words
    • 4 Pages
    Better Essays
  • Best Essays

    Given the recent turbulence in banking and the rise in non-performing loans (NPLs) there is renewed interest in the impact of internal and external factors on NPLs of banks. Financial institutions and more specifically the banking industry are faced with an array of risks such as liquidity risk, market risk, and operational risk credit risk among others. Credit risk is identified as one of the major oldest risk factors that banks and other financial institutions have been facing from time to time. Karumba and Wafula (2012) default risk is as a result of the…

    • 3575 Words
    • 15 Pages
    Best Essays
  • Good Essays

    Chapter 1- Banks and Business of Banking Chapter 2 - Organization, Management, Administration Of Banks Chapter 3 - Deposit Functions Of Banks Chapter 4 - Investments, Loans and Other Bank Functions Chapter 5 - Prohibited Transactions and Cessation Of Banking Business Chapter 6 - Foreign Banks and Trust Operations…

    • 41256 Words
    • 166 Pages
    Good Essays
  • Powerful Essays

    Introduction:- A well organized and efficient banking system is a pre-requisite for economic growth. Banks play an important role in the functioning of organized money market. in order to meet the banking needs of various sections of the society, a large network of bank branches has been established. There are four type of banking institutions.…

    • 1671 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    “A Cross Sectional Study of the Awareness and Satisfaction Level of the People in the Rural & 31-54…

    • 7969 Words
    • 32 Pages
    Good Essays
  • Powerful Essays

    Non Performing Assets

    • 2301 Words
    • 10 Pages

    An account should be treated as 'out of order' if the outstanding balance remains continuously in excess of the sanctioned limit/ drawing power. In case where the outstanding balance in the principal operating account is less than the sanctioned limit/ drawing power, but there are no credits continuously for six months as on the date of balance sheet or credits are not enough to cover the interest debited during the same period, these account should be treated as 'out of order'.…

    • 2301 Words
    • 10 Pages
    Powerful Essays

Related Topics