Public Sector Banks Report Decade-Low NPAs; Return on Equity Crosses 16%

Public sector commercial banks registered historically low non-performing assets (NPAs) and decade-high operational efficiency, according to banking regulatory filings.

Led by State Bank of India, Punjab National Bank, and Bank of Baroda, gross NPAs dropped beneath 2.8%, with return on equity (RoE) surpassing 16% across public institutions.

Robust corporate loan repayments, digitised retail collections, and prudent risk-provisioning have restored balance sheet strength to the state banking sector.