The RBI is set to intensify its scrutiny of banks’ financial accounts during the annual financial inspection process.
- The regulator is trying to achieve the goal of cleaning up bank balance sheets by March 2017.
- Till now, there has been a discrepancy in the NPA numbers that banks report and what the RBI finds during the annual inspections.
- Banks have to make a 5% provision for standard assets while provisioning for a sub-standard asset is 15-20%.
- The gross NPAs of public sector banks were at 6% at the end of June.
Posted on | The Hindu