India’s Punjab National Bank reported a fourth-quarter net loss of 53.67 billion rupees ($802 million) as the nation’s fourth-biggest state-run lender by assets set aside more funds to cover a jump in bad loans.
Provisions, including for loan losses, nearly tripled from a year earlier to 104.85 billion rupees in the March quarter, the New Delhi-based lender said in a regulatory filing.
- Punjab National Bank posts Rs 4,532 crore loss in Sept quarter as bad loans soar
- State Bank of India posts third straight quarterly loss
- PNB posts biggest ever quarterly loss of Rs 13,417 crore in Q4
- HDFC Bank net profit hits record despite bad loan rise
- PNB suffers record loss of Rs 5,367 crore in Q4 on high NPAs
- Punjab National Bank Q4 net profit plunges 21%,bad loans hit hard
Gross bad loans as a percentage of total loans rose to 12.9 percent in March from 8.47 percent in December, and 6.55 percent a year earlier.
Indian banks have seen a surge in bad loans after a clean up ordered by their regulator, the Reserve Bank of India. The central bank wanted banks to classify some troubled accounts as non-performing and make adequate provisions for those over the December and March quarters. ($1 = 66.9600 Indian rupees)