Management of non performing assets and its impact on profitability an empirical study of selected banks in India

Abstract

The present study examines and compares the profitability of Public, Private and Foreign Banks in India. Financial and Non financial parameters were applied to study the impact of NPA on Profitability. Proper empirical study was conducted taking NPA as an independent variable and Profitability and Liquidity as dependent variable. During the study period 2005-2015 the trend of NPA and Profitability was examined. The present study recommended that there should be no space for Political Interference in the transparent and fair functioning of banks. The study provides valuable suggestions on the critical banking issues which impact long-term solvency of the banks and if not efficiently managed, give rise to crisis like situations and it will be useful for the policy makers, bankers and society. newline