Recoveries of bad loans by banks have seen an improvement in the March quarter of FY17, both on a sequential and year-on-year (y-o-y) basis, data compiled by FE showed. According to the data, Bank of India (BoI) has reported the highest recovery of Rs.1,597 crores in Q4 among the public sector banks (PSBs). Apart from BOI, IDBI Bank, Central Bank of India, Bank of Baroda (BoB), Oriental Bank of Commerce (OBC), Union Bank of India, among others have shown y-o-y growth in recoveries. However, India’s largest lender State Bank of India’s (SBI) recoveries dropped 26% y-o-y to Rs.1,203 crores in the March quarter and rose 20% sequentially. For Canara Bank as well, while recoveries have fallen when compared to Q4 of FY16, it has risen sequentially. Apart from PSBs, private sector banks have reported healthy growth in recoveries in Q4. For instance, Axis Bank’s recoveries and up gradations almost quadrupled to Rs.2,804 crores in Q4 FY17 and ICICI Bank’s recoveries up gradations rose 81% to Rs.1,413 crores in the March quarter.

(Financial Express)