NON-PERFORMING ASSETS IN PUBLICS SECTORS BANKS – A PERCEPTION ANALYSIS OF BORROWERS

Abstract

Financial sector reform in India has progressed rapidly on aspects like interest rate deregulation, reduction in reserve requirements, barriers to entry, prudential norms and risk-based supervision. But progress on the structural-institutional aspects has been much slower and is a cause for concern. The importance of the study lies in its futuristic approach to tackle the problem of NPAs focusing mainly on a viable solution. The solution should strengthen the credit portfolio of banks over a period by removing the present deficiencies observed in the standard of credit appraisal, monitoring and follow-up and improving the overall lending policies of banks..