Question
he Reserve Bank of India has released the Financial
Stability Report citing the condition of the bad assets of banks.Which of the following statements is/are correct with respect to the above information - I.The Reserve Bank notified that the net non-performing assets ratio of banks declined to a multi-year low of 0.8 per cent at the end of September 2023 and the country’s domestic financial system remains resilient. II.The resilience of the non-banking financial companies (NBFCs) sector improved with CRAR at 27.6 per cent, GNPA ratio at 4.6 per cent and return on assets (RoA) at 2.9 per cent, respectively, in September 2023. III.It further said that the capital to risk-weighted assets ratio (CRAR) and the common equity tier 1 (CET1) ratio of scheduled commercial banks (SCBS) stood at 15.1 per cent and 11.2 per cent.Solution
The Reserve Bank notified that the net non-performing assets ratio of banks declined to a multi-year low of 0.8 per cent at the end of September 2023 and the country’s domestic financial system remains resilient. According to the RBI’s Financial Stability Report (FSR), the resilience of the non-banking financial companies (NBFCs) sector improved with CRAR at 27.6 per cent, GNPA ratio at 4.6 per cent and return on assets (RoA) at 2.9 per cent, respectively, in September 2023. The gross non-performing assets (GNPA) ratio of banks also declined to a multi-year low of 3.2 per cent. It further said that the capital to risk-weighted assets ratio (CRAR) and the common equity tier 1 (CET1) ratio of scheduled commercial banks (SCBS) stood at 16.8 per cent and 13.7 per cent.
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