Keywords
Housing Finance
Karnataka
Reserve Bank of India
Commercial Banks
Prompt Corrective Action
PCA
How to Cite
Abstract
The Profitability and financial viability of banking and non-banking financial institutions are directly related to the quality of loans and advances and the recovery performance of the institution. Multiple factors determine the performance of the financial institutions, visà- vis capital structure, type of borrowings, quality and quantity of information systems, nature of the investment, asset and liability management practices, skills and commitment of officials, nature of rules and regulations governing the operations of business enterprises and so on. Despite of various regulatory mechanisms by the Reserve Bank of India, a range of direct and indirect factors leads to abnormalities in working of the financial institutions. One such anomaly arises due to inadequate credit risk evaluation and management practices of FIs. The negative consequences of it have a strong bearing on the financial health of the business. Loans and advances constitute more than 80 percent of the asset size of the FIs. Early detection and containment of non-performing assets at its initial stage are the critical components of rigorous/sound NPA management system.
References
Das, S. Housing finance in India a study with special reference to the role of housing finance companies.
Rameshbhai, P. H. Performance evaluation of selected housing finance companies of India.
Manoj, P. K. (2010). Benchmarking housing finance companies in India: Strategies for enhanced operational efficiency and competitiveness. European Journal of Economics,
Finance and Administrative Sciences, 21, 21-34.
Malepati and Gowri C. (2017). Sectoral Analysis of NPAs of select private and PSBs. Sumedha Journal of Management. 6(1), 20-35
Bhati and Goyal. (2017). Degradation in Asset Quality: A sectoral study of Non- performing Asset in PSBs in India. International Journal of Commerce and Management Research,
(6), 01-06. ISSN No: 2455-1627.
Praveen, K. (2019). A study of rising Non-Performing Assets (NPAs) in the Indian banking sector and its adverse effects. The research journal of Social Science, 10(1), 119-127. ISSN No 0025-1348.
Bharathi and Thilagavathi. (2018). Factors influencing the NPA in the Indian banking sector: An economic analysis. International Journal of contemporary research and review,
(1), 21080-21086. ISSN No: 0976-4852.
Angela, R., & Irina, B. (2015). An empirical analysis of the macroeconomic determinants of non-performing loans in EU28 banking sector. Revista Economic?, 6(2),108-127.
Fajar, H., & Umanto. (2017). The impact of macroeconomic and bank-specific factors toward non-performing loan: Evidence from Indonesian public banks. Banks and Bank
Systems (open access). doi:10.21511/bbs.12(1).2017.08
Gandhi, R. (2015). Asset Reconstruction and NPA Management in India. Economic Times ReModel in India-Asset Reconstruction & NPA Management Summit, Mumbai, India. Retrieved from https://www.bis.org/review/r150918a.pdf
Goyal, K., & Agrawal, S. (2010). Risk Management in Indian Banks: Some Emerging Issues. The International Journal of Economic Research, 1(1) 102-109. Retrieved from https://www.ijeronline.com/documents/volumes/vol1issue1/ijer2010010109. pdf
Gupta, M. L., & Dr.Garg, R. (2011). Growth and Sustainability of Indian Banking Sector. International Journal of Research in Commerce, IT and Management, 1(6), 64-65. Retrieved from file:///C:/Users/YAM/Downloads/ijrcm-4-Ivol1_issue-6_art-11.pdf
G?ogowski, A. (2008). Macroeconomic determinants of Polish banks? loan losses: Results of panel data study. National Bank of Poland-Working Paper No. 53. Retrieved from http://www.nbp.pl/publikacje/materialy_i_studia/53_en.pdf
Islamoglu, M. (2015). The effect of macroeconomic variables on non-performing loan ratio of publicly traded banks in Turkey. WSEAS Transactions on Business and Economics, 12, 10-20.
Kumar, R. (2000), NPA Management for Better Banking. Proceedings of the Bank Economist Conference, 68-73. Academic Press.
Kurup, N.P. (1995). Restructuring banks? capital: Need for an integrated approach. Economic and Political Weekly, 30(9), 421-422. Retrieved from http://www.jstor.org/stable/4402435
Krishnan, R. (2004). SARFAESI Act 2002: Is it a boon to securitization or a tool for NPA management ?. In T.D. Chaudhuri (Ed.), Management of NPAs - Country Experiences
(93-100). Hyderabad, India: The ICFAI University Press.
Klein, N. (2013). Non-performing loans in CESEE: Determinants and impact on macroeconomic performance. IMF Working Paper-WP/13/72, 1-27. Retrieved from http://www.imf.org/external/pubs/ft/wp/2013/wp1372.pdf
Messai, A.S., & Jouini, F. (2013). Micro and macro determinants of non-performing loans. International Journal of Economics and Financial Issues, 3 (4), 852- 860. Retrieved from www.econjournals.com
Rajan, R.G. (2016). Resolving stress in the banking system. ASSOCHAM International Meet with Industry & Trade, June 22, Bangaluru. Retrieved from https://www.rbi.org.in/Scripts/BS_SpeechesView.aspx?Id=1009
Saha, G. (2006). Management of NPAs- Trends and Challenges. In T.D. Chaudhuri (Ed.), Management of NPAs- Country Experiences (3-9). Hyderabad, India: The ICFAI University Press
Patel, U.R. (2017, August 19). Resolution of stressed assets: Towards the endgame. Retrieved from https://www.rbi.org.in/Scripts/BS_SpeechesView.aspx?Id=1044
Najaf, G. A. (2009). The investigation of risk analysis and risk management in selected branches of cooperative banks in Pune. Research Thesis. Retrieved from http://hdl.handle.net/10603/124763
Gupta, Dilip (2018). Management of non-performing assets NPAs in banking sector in India. Research Thesis. Retrieved from http://hdl.handle.net/10603/324979
Lekhi, Pooja (2017). Asset quality management practices in banking sector a comparative study of public sector and private sector banks in India. Research Thesis. Retrieved from http://hdl.handle.net/10603/194804
Satish Kumar (2021). Banking reforms and non-performing Assets emerging strategies issues and challenges. Research Thesis. Retrieved from http://hdl.handle.net/10603/362721
Srinivas K T. (2020). Asset Quality Management in Indian Commercial Banks. Research Thesis. Retrieved from http://hdl.handle.net/10603/304384
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
Copyright (c) 2022 SOUTH INDIA JOURNAL OF SOCIAL SCIENCES