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Benchmarksclosed Nifty18,089.85-57.80 FEATURED FUNDS ★★★★★ Axis Midcap Fund-Growth 5Y Return 13.54 % Invest Now FEATURED FUNDS ★★★★★ Axis Nifty 50 Index Fund Regular - Growth 1Y Return 7.05 % Invest Now Industry English EditionEnglish Editionहिन्दीગુજરાતીमराठीবাংলাಕನ್ನಡമലയാളംதமிழ்తెలుగు | Today's Paper Subscribe Sign In Special Offer on ETPrime Home ETPrime Markets News Industry Rise Politics Wealth Mutual Funds Tech Careers Opinion NRI Panache ET NOW More Auto Auto News Cars & UVs Two wheelers & three wheelers LCV & HCV Auto Components Tyres Banking/Finance Banking Finance Insure Cons. 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Read Today's Paper SPECIAL DRIVE BY PUBLIC SECTOR BANKS LIKELY TO RECOVER WRITTEN-OFF LOANS SECTIONS Special drive by public sector banks likely to recover written-off loans By Dheeraj Tiwari , ET BureauLast Updated: May 01, 2023, 12:44 AM IST Rate Story Share Font Size AbcSmall AbcMedium AbcLarge Save Print Comment Synopsis A SENIOR OFFICIAL TOLD ET THAT THE GOVERNMENT HAS ASKED PUBLIC SECTOR BANKS (PSBS) TO FOCUS ON WRITTEN-OFF LOANS AND TRY TO RECOVER AT LEAST ₹2 LAKH CRORE IN THIS FINANCIAL YEAR. iStockA senior bank executive said lenders will double up their efforts, but some of these cases have been stuck at recovery tribunals and courts for years. State-run banks are likely to launch a special drive to recover written-off loans after the government nudged them to fast-track proceedings against errant borrowers. A senior official told ET that the government has asked public sector banks (PSBs) to focus on written-off loans and try to recover at least ₹2 lakh crore in this financial year. PSBs wrote off bad loans of Rs 8.16 lakh crore from their books in the six years to 2021-22. In the first nine months of 2022-23, PSBs wrote off ₹90,958 crore of bad loans, as per the latest data. "It is for the banks to decide individual targets after consultation with their respective boards. We have only asked them to focus on this area," said the official, who did not wish to be identified. A senior bank executive said lenders will double up their efforts, but some of these cases have been stuck at recovery tribunals and courts for years. "Banks write off loans only when recovery looks impossible in the near future. A write-off then helps the bank free up capital so it can continue with the recovery process," the executive said on condition of anonymity. Loan write-offs clean up and update balance sheets, but the borrower is still liable for repayment. Additionally, a loan write-off can be deducted from income, allowing lenders to save tax. In December 2022, finance minister Nirmala Sitharaman told Parliament that borrowers of written-off loans continue to be liable for repayment and that the process of recovering dues from the borrower in written-off loan accounts continues. "Write-off does not benefit the borrower," she said, adding that banks continue to pursue recovery actions initiated in written-off accounts through various recovery mechanisms available, such as filing a suit in civil courts or debt recovery tribunals, filing cases under the Insolvency and Bankruptcy Code, 2016, and through the sale of non-performing assets. Sitharaman further said that in cases where it is prima facie found that officials are responsible for non-compliance, lapses in the laid-down systems and procedures, misconduct or non-adherence to the due-diligence norms, action is initiated against the erring officials under the board-approved staff accountability policy. In December 2022, minister of state for finance Bhagwat Karad informed Parliament that scheduled commercial banks had recovered an aggregate amount of ₹6.59 lakh crore, including ₹1.32 lakh crore from written-off loan accounts, during the past five financial years, as per the Reserve Bank of India data. Don’t miss out on ET Prime stories! Get your daily dose of business updates on WhatsApp. click here! READ MORE NEWS ON bankspublic sector banksstate run banksbad loanspsbloan write off (Catch all the Business News, Breaking News Events and Latest News Updates on The Economic Times.) 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In any event. whatsoever, ET Prime's liability will not exceed the amount paid by the user during the transaction. * ET Prime reserves the right to withdraw or modify this offer without any liability at its own discretion. * These terms shall at all times be read and understood in conjunction with the T&C and Privacy Policy of ET Prime available at :etprime.com/terms-conditions. * Times Prime subscription offers the below benefits:- * Hotstar + Disney : 6 months subscription worth Rs. 450 * SonyLiv: 6 month subscription worth Rs. 699 * Headspace: 6 months subscription worth Rs. 449 * TOI+ : 12 months subscription worth Rs. 650 * Gaana+: 1-year subscription worth Rs. 399 * Myntra: 15% discount over & above * Uber: 20% off on rides * Chaayos: Complimentary chai * Times Prime reserves the right to add/modify/delete any of the benefits at its own discretion. * Times Prime terms and conditions shall apply at all times.. * In case of any concerns, the user may reach out to us at :care@etprime.com. The only global membership video-on-demand platform for streaming documentaries. Explore, question and discover real stories that enlighten, enchant and entertain. Features: * A new release every day * Stream on multiple screens * Award winning documentaries from 100+ countries * Stunning 4K & HD quality * Wide range of topics including Travel, Culture, Science, Crime, Nature, History and more * TERMS & CONDITIONS * The offer is applicable for all users buying/renewing the Annual plan or 2-year plan. * Post the free trial of 15 days, the Docubay coupon code will be sent to the registered email address within 15 working days from completion of the trial period. * For existing users (renewing users) or users who have exhausted their trial period in the past, will receive the Docubay coupon code to their registered email address within 15 working days from the payment completion. * Users are required to redeem their Docubay coupon code on or before 31-3-2023. * ET Prime solely reserves the right to resolve any issue as per the company policy. In any event. whatsoever, ET Prime's liability will not exceed the amount paid by the user during the transaction. * ET Prime reserves the right to withdraw or modify this offer without any liability at its own discretion. * These terms shall at all times be read and understood in conjunction with the T&C and Privacy Policy of ET Prime available at etprime.com/terms-conditions. * The above mentioned offers are indicative and may change over time. * A new release every day * Docubay terms and conditions shall apply at all times. ENJOY FREE SUBSCRIPTIONS & DISCOUNTED DEALS FROM TOP BRANDS TERMS & CONDITIONS * The offer is applicable for all users buying/renewing the Annual plan or 2-year plan. * Post the free trial of 15 days, the Times Prime coupon code will be sent to registered email address within 10 working days from completion of the trial period. * For existing users (renewing users) or users who have exhausted their trial period in the past, will receive the Times Prime coupon code to their registered email address within 10 working days from the payment completion. * Users are required to redeem their Times Prime coupon code on or before 31-03-2023. * ET Prime solely reserves the right to resolve this issue as per the company policy. In any event. whatsoever, ET Prime's liability will not exceed the amount paid by the user during the transaction. * ET Prime reserves the right to withdraw or modify this offer without any liability at its own discretion. * These terms shall at all times be read and understood in conjunction with the T&C and Privacy Policy of ET Prime available at :etprime.com/terms-conditions. * Times Prime subscription offers the below benefits:- * Hotstar + Disney : 6 months subscription worth Rs. 450 * SonyLiv: 6 month subscription worth Rs. 699 * Headspace: 6 months subscription worth Rs. 449 * TOI+ : 12 months subscription worth Rs. 650 * Gaana+: 1-year subscription worth Rs. 399 * Myntra: 15% discount over & above * Uber: 20% off on rides * Chaayos: Complimentary chai * Times Prime reserves the right to add/modify/delete any of the benefits at its own discretion. * Times Prime terms and conditions shall apply at all times.. * In case of any concerns, the user may reach out to us at :care@etprime.com. The only global membership video-on-demand platform for streaming documentaries. Explore, question and discover real stories that enlighten, enchant and entertain. Features: * A new release every day * Stream on multiple screens * Award winning documentaries from 100+ countries * Stunning 4K & HD quality * Wide range of topics including Travel, Culture, Science, Crime, Nature, History and more * TERMS & CONDITIONS * The offer is applicable for all users buying/renewing the Annual plan or 2-year plan. * Post the free trial of 15 days, the Docubay coupon code will be sent to the registered email address within 15 working days from completion of the trial period. * For existing users (renewing users) or users who have exhausted their trial period in the past, will receive the Docubay coupon code to their registered email address within 15 working days from the payment completion. * Users are required to redeem their Docubay coupon code on or before 31-3-2023. * ET Prime solely reserves the right to resolve any issue as per the company policy. In any event. whatsoever, ET Prime's liability will not exceed the amount paid by the user during the transaction. * ET Prime reserves the right to withdraw or modify this offer without any liability at its own discretion. * These terms shall at all times be read and understood in conjunction with the T&C and Privacy Policy of ET Prime available at etprime.com/terms-conditions. * The above mentioned offers are indicative and may change over time. * A new release every day * Docubay terms and conditions shall apply at all times. ENJOY FREE SUBSCRIPTIONS & DISCOUNTED DEALS FROM TOP BRANDS TERMS & CONDITIONS * The offer is applicable for all users buying/renewing the Annual plan or 2-year plan. * Post the free trial of 15 days, the Times Prime coupon code will be sent to registered email address within 10 working days from completion of the trial period. * For existing users (renewing users) or users who have exhausted their trial period in the past, will receive the Times Prime coupon code to their registered email address within 10 working days from the payment completion. * Users are required to redeem their Times Prime coupon code on or before 31-03-2023. * ET Prime solely reserves the right to resolve this issue as per the company policy. In any event. whatsoever, ET Prime's liability will not exceed the amount paid by the user during the transaction. * ET Prime reserves the right to withdraw or modify this offer without any liability at its own discretion. * These terms shall at all times be read and understood in conjunction with the T&C and Privacy Policy of ET Prime available at :etprime.com/terms-conditions. * Times Prime subscription offers the below benefits:- * Hotstar + Disney : 6 months subscription worth Rs. 450 * SonyLiv: 6 month subscription worth Rs. 699 * Headspace: 6 months subscription worth Rs. 449 * TOI+ : 12 months subscription worth Rs. 650 * Gaana+: 1-year subscription worth Rs. 399 * Myntra: 15% discount over & above * Uber: 20% off on rides * Chaayos: Complimentary chai * Times Prime reserves the right to add/modify/delete any of the benefits at its own discretion. * Times Prime terms and conditions shall apply at all times.. * In case of any concerns, the user may reach out to us at :care@etprime.com. The only global membership video-on-demand platform for streaming documentaries. Explore, question and discover real stories that enlighten, enchant and entertain. Features: * A new release every day * Stream on multiple screens * Award winning documentaries from 100+ countries * Stunning 4K & HD quality * Wide range of topics including Travel, Culture, Science, Crime, Nature, History and more * TERMS & CONDITIONS * The offer is applicable for all users buying/renewing the Annual plan or 2-year plan. * Post the free trial of 15 days, the Docubay coupon code will be sent to the registered email address within 15 working days from completion of the trial period. * For existing users (renewing users) or users who have exhausted their trial period in the past, will receive the Docubay coupon code to their registered email address within 15 working days from the payment completion. * Users are required to redeem their Docubay coupon code on or before 31-3-2023. * ET Prime solely reserves the right to resolve any issue as per the company policy. In any event. whatsoever, ET Prime's liability will not exceed the amount paid by the user during the transaction. * ET Prime reserves the right to withdraw or modify this offer without any liability at its own discretion. * These terms shall at all times be read and understood in conjunction with the T&C and Privacy Policy of ET Prime available at etprime.com/terms-conditions. * The above mentioned offers are indicative and may change over time. * A new release every day * Docubay terms and conditions shall apply at all times. Get 1 Year Complimentary Subscription of TOI+ worth Rs.799/- Enjoy unlimited access to breaking news and thought provoking stories from all around the world. Know More Get One Year Docubay Subscription worth ₹999 for free Stream award-winning international documentaries from more than 100 countries. KNOW MORE Offers By Our Partners Exclusively for Members Annual plan worth ₹15000, now at 50% off ₹7500/yr Access unlimited research summaries with a research network that unites Insight Providers, Investors and Investor Relations Professionals Know More 7Member only Newsletters Never miss a story that matters PrimeShots Sharp, short, snappy insights to help you stay up-to-date in under 120 seconds! Today's Edition Daily edition of latest ET Prime stories Prime Vantage The classic weekend read. Subscribe Now 8 Gift a story Your membership includes story gifting credits. Now gift exclusive stories to your friends & peers. Become a Member 9 Comment & Engage with ET Prime community Communicate & build a connection with great minds of the industry Subscribe Now 10Members Love Us The stalwarts of the industry trust ET Prime for insightful analysis & unbiased thought pieces * Given the information overload these days and a rapidly changing business environment, you look out for analyses that draw perspective and insights. ET Prime is one such platform that has raised the bar in providing this analyses consistently and have redefined journalism away from just reporting. I have had many conversations with their journalists in the areas of Fintech, Consumer and Banking and have come out quite impressed with the depth of their understanding. Infact their reporting on Fintech has been quite prescient. Rajeev Ahuja Executive Director, RBL Bank * Thanks ET Prime for sharing such a strong perspective with all facts, figures and quotes from eminent industry stalwarts. Vikash Mohan CEO, DHL SmarTrucking * I have been reading ET prime probably since inception. The reason I read , especially healthcare , is because the issues are discussed at length and cover most aspects of the issue. Also there is scholarly treatment to discussions and all sides represented. There is no shortcut and normally stories end with a question that we keep thinking about. That is what we want to read as serious readers and students of the industry. Sanjiv Navangul CEO and MD, Bharat Serums and Vaccines * In-depth understanding of aviation issues at hand combined with the ability to get experts and decision makers to open up with great detail enables the articles on ET Prime provide insight that adds value to experts and industry insiders.This is not an easy task and that makes ET Prime an invaluable part of the daily routine. Balu Ramachandran Senior Vice President, Cleartrip * 1 * 2 * 3 * 4 11A trusted team of Journalists & Analysts Unbiased perspective & detailed reporting by our team of journalists who have in-depth knowledge and years of experience * Shishir Prasad Editor Two decades of tracking strategy, technology, and money. Loves stories that combine logic and aesthetics. * Alekh Angre Assistant Editor - Markets Keeping track of everything banking. Loves narrating big picture stories. * Ami Shah Senior Assistant Editor, Markets Keeps an eye on everything related to stock markets * Anand J Senior Assistant Editor, Fintech and Internet Economy Covering Indian startup ecosystem and technology. Looking deeper into fintech. * Garima Manon Senior Project Manager Monitoring every part of a story life cycle - from commissioning to publishing - and making sure nothing slips through the cracks. * Himadri Buch Assistant Editor - Markets Keeps a vigil eye on happenings in the stock markets and mutual funds * Isha Trivedi Assistant Editor, Pharma and Healthcare Detail-oriented pharma business specialist * Jochelle Mendonca Assistant Editor, Enterprise IT Covering India's IT services industry and enterprise technology * Jyotindra Dubey Associate Editor, Corporate and Regulatory Affairs Poring at financials to check for things that don't add up * Kanika Saxena Staff Writer - Technology A tech geek on the lookout for misinformation and privacy breaches. * Manali Ghosh Senior Graphics Designer Information designer and visual storyteller * Kankana Roy Choudhury Senior Editor Journalist, storyteller, dancer, Hindi-film encyclopaedia * Mugdha Variyar Assistant Editor - Consumer Internet Unravelling stories behind the apps you use. * Manu P Toms Executive Editor New-economy veteran * Mitali Sharma Editorial Operations Associate I sing on the chords of content and operations! * Mohammad Arshad Senior Graphics Designer I visualise data, infographics, and illustrations * Moinak Choudhury Senior Editor I sub stories and ensure that the edition is put to bed within deadlines. * Monika Majumder Digital Content Creator A passionate learner with a penchant for written words * Muhabit ul haq Senior Image Researcher Visual storyteller * N Sundaresha Subramanian Executive Editor Number reader, fine-print cracker, money follower, underdog lover * Nirmal John Editor - Emerging Technologies and Cybersecurity; Growth Editor Author of India’s first book with true stories of cybercrime and data theft * Prashant Mukherjee Assistant Editor, Energy Covering oil, gas, and renewables. In my free time I dabble in derivatives and music * Pravin Palande Executive Editor Markets and investment specialist * Priyanka Sahay Assistant Editor If it's odd, it's a story. I strive to bring it to you. * Priyanka Salve Assistant Editor - Markets and Infrastructure Covering the economy's building blocks * Richa Sharma Digital Content Creator Academics, art, and articulation drive my joy! * Rajiv Ghosh Principal Analyst, Auto Analyst-journalist strolling the corridors of auto innovation * Rishi Tejpal Lead, Telecom Fourteen years across critical functions in the telecom industry * Rochelle Britto Research and Data Analyst Resident numbers lady * Sadhana Saxena Chief Graphics Designer I use my experience of more than two decades with leading media houses to generate new design solutions and ideas. * Santanu Bose Senior Editor Newsroom leader with nearly two decades in top-tier media houses * Sandhya Sharma Editor, Technology Policy and Foreign Policy Cyber-law expert, policy geek, China observer. Tracks strategic technologies and geopolitics. * Shabori Das Lead Analyst - Consumer and Retail Tracking technology's hand in what and how we consume * Shubhangi Palve Staff Writer - Defence Keeping a hawk eye on defence industry. * Sudipto Dey Senior Associate Editor - ESG Tracking all thing ESG, and more * Swathi Moorthy Senior Staff Writer - Technology Covering all things in the Web3 universe. * Shobha Mathur Consulting Editor, Auto Industry veteran- passionate about passenger vehicles * Sunny Verma Senior Assistant Editor - Markets and Economy Explore issues from the crossroads where forces of markets and economy meet. * Sumit Kumar Senior Editor An editor in love with stories for over a decade * Swagata Panjari Staff Writer, OTT Media and entertainment industry analyst, music lover, writer, and dreamer * Tarun Shukla Editor, Aviation and Defence Award-winning investigative journalist and flying-objects geek * Taslima Khan Assistant Editor, Technology and Logistics Writes behind the wheels of logistics. Covers trucking, old economy companies and new age startups. * Vikas Dandekar Editor, Pharma and Healthcare India’s pre-eminent pharma reporter with over two decades in the business * Varsha Santosh Correspondent, Money and Markets Juggling with data * Vyas Mohan Senior Sub-Editor I have 15 years of experience. I moved to ET Prime’s rewrite team from the Asia desk of Thomson Reuters. * 1 * 2 * 3 * 4 * 5 * 6 * 7 * 8 * 9 * 10 * 11 * 12 * 13 * 14 * 15 Subscribe Now FREQUENTLY ASKED QUESTIONS WHAT DO I GET WITH AN ET PRIME MEMBERSHIP? An ET Prime membership gets you • Unlimited access to all ET Prime content on all platforms • Access to in-depth reports on 4000+ stocks and complete access to ET Print Edition • Access to community discussions on ET Prime, and opportunity to become a contributor • Invites to ET Prime members-only event DO I NEED TO CREATE AN ACCOUNT TO BUY A MEMBERSHIP? Yes, you need to sign-in/sign-up using your email ID or any of your social accounts to buy an ET Prime subscription. CAN I BUY A MEMBERSHIP TO ONLY THE DESKTOP SITE OR APP? No, a membership gets you access on all platforms. WHAT IS YOUR CANCELLATION POLICY? There is no refund in case you want to cancel your membership, unless explicitly stated. WHAT IS THE DURATION OF THE TRIAL PERIOD? Currently, we are not offering trial with any of our plans. WHAT TYPES OF PAYMENT DO YOU ACCEPT? We accept payment via credit cards, debit cards, net banking, UPI and wallets. I DON'T LIVE IN INDIA. CAN I STILL BECOME A MEMBER? Yes, you can become an ET Prime member from anywhere in the world. Annual International subscription is available at USD 34 only. For international subscription, drop us an email at care@etprime.com. WILL MY MEMBERSHIP BE RENEWED AUTOMATICALLY? Membership purchased through all credit cards and some debit cards will be automatically renewed. We will inform you before the renewal is due. You can cancel the auto-renewal any time from within your profile settings. I HAVE PAID FOR A MEMBERSHIP, BUT DID NOT CREATE AN ACCOUNT. WHAT SHOULD I DO? To reclaim your membership, please reach us at care@etprime.com. HOW DO I GET AN INVOICE FOR MY MEMBERSHIP? To issue an invoice, please share the billing name, address, and contact number at care@etprime.com. In case you require a GST invoice, please share the GST number, billing address, and contact number on the same email ID. DO I ALSO GET THE ECONOMIC TIMES NEWSPAPER AT HOME WITH THIS MEMBERSHIP? No, this is a membership to ET Prime only. Though, you get complete access to ET Print edition - The digital website of ET Newspaper. WHAT IF I DON'T WANT TO BECOME A MEMBER? CAN I STILL READ SOME ARTICLES FOR FREE? A very small portion of our stories are free to read. You can access them by signing in. DO I ALSO GET THE ECONOMIC TIMES EPAPER ACCESS WITH THIS MEMBERSHIP? As an ET Prime member, you will get access to ET Print Edition - The digital website of ET Newspaper. However, in order to access epaper you would need to purchase a separate subscription. The only global membership video-on-demand platform for streaming documentaries. Explore, question and discover real stories that enlighten, enchant and entertain. Features: * A new release every day * Stream on multiple screens * Award winning documentaries from 100+ countries * Stunning 4K & HD quality * Wide range of topics including Travel, Culture, Science, Crime, Nature, History and more * TERMS & CONDITIONS * The offer is applicable for all users within India buying/renewing the Annual plan or 2-year plan. * Post the free trial of 15 days, the Docubay coupon code will be sent to the registered email address within 15 working days from completion of the trial period. * For existing users (renewing users) or users who have exhausted their trial period in the past, will receive the Docubay coupon code to their registered email address within 15 working days from the payment completion. * Users are required to redeem their Docubay coupon code on or before 01-06-2021. * ET Prime solely reserves the right to resolve any issue as per the company policy. In any event. whatsoever, ET Prime's liability will not exceed the amount paid by the user during the transaction. * ET Prime reserves the right to withdraw or modify this offer without any liability at its own discretion. * These terms shall at all times be read and understood in conjunction with the T&C and Privacy Policy of ET Prime available at etprime.com/terms-conditions. * The above mentioned offers are indicative and may change over time. * Docubay terms and conditions shall apply at all times. GET 1 YEAR COMPLIMENTARY SUBSCRIPTION OF TOI+ WORTH RS.799/- WITH ET PRIME. What All You Get With TOI+ subscription: * Build deep knowledge through expert opinions, data-driven stories, explainers and more * Enjoy an ad-free experience on the TOI app and website * Stay on top of news that impacts your life, health and personal finance * Enjoy podcasts, crosswords and newsletters throughout the day WHY ? * Exclusive Economic Times Stories, Editorials & Expert opinion across 20+ sectors * Stock analysis. Market Research. Industry Trends on 4000+ Stocks * Clean experience with Minimal Ads * Comment & Engage with ET Prime community * Exclusive invites to Virtual Events with Industry Leaders * A trusted team of Journalists & Analysts who can best filter signal from noise * Get 1 Year Complimentary Subscription of TOI+ worth Rs.799/- Stories you might be interested in Subscribe to ourET Investment Opportunities SUBMIT BACK TO TOP