The banking sector reported the strongest year-on-year growth in net interest income (NII) for the December 2022 quarter since the pandemic hit June 2020 quarter helped by a sustained double-digit credit offtake. In addition, the sector continued to report lower year-on-year provisioning for nonperforming assets (NPAs) for the fourth consecutive period following improving collection efficiency and rising credit quality.
For a sample of 29 banks, the bad loan provisioning fell by 27.6% year-on-year to Rs 23,080.6 crore in the December quarter. NII increased by 34.5% to a record Rs 1.8 lakh crore. NII is calculated as the difference between total interest earned and interest expended.
Source:
Economic Times
