This infographic shows the increasing number of borrowers struggling to repay their loan which resulting in bad loans for the state run banks. Among the state run banks State Bank of India and United bank of India are the hardest hit banks in terms of Bad loans.
[source : WSJ ]
Key Points about the State-Run Bad Loan Infographic
– The overall bad loan burden at Indian state-run banks up 41% to $36 billion last year.
– State-run banks, which together make up more than 70% of the banking sector.
– State-run banks non-performing asset ratios climb to an eight-year high of 5.17% by the end of last year.
– State bank of India has bad loans equivalent to 5.70% of its loan book
– United Bank of India now has a bad debt ratio of whooping 10.82%.