Non-performing loans in the Indian banking sector is likely to witness an uptick and may shoot up to 11 per cent of gross loans in the next 12-18 months, S&P Global Ratings said. In its report titled “The Stress Fractures In Indian Financial Institutions”, S&P said with loan repayment moratoriums having ended on August 31, 2020, NPLs in the banking sector will likely shoot up to 10-11% of gross loans in the next 12-18 months, from 8% on June 30, 2020. According to S&P, 3-8% of loans could get restructured.

(The Hindu)