Finance
Potter HeadBanks Unleash Lending Magic Amidst Credit Mysteries
In the magical land of finance, banks have unleashed their lending spells since FY21! However, beware the lurking shadows of high credit-deposit ratios among the private sector sorcerers, which could cause liquidity potions to fizzle. With enchanted write-offs reducing non-performing assets, the Reserve Bank's goblins have conjured multi-decade lows, though not without their share of trickery!
few days ago | BS Reporter
Quick rundown
1.Indian banks are lending more post-FY21.
2.High C D ratios could lead to liquidity challenges.
3.Banks are raising deposit rates to meet credit demand.
4.RBI reports show NPAs are at multi-decade lows.
5.Write-offs are a key reason for lower NPAs.
