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Public Sector Banks Write Off Over ₹12 Lakh Crore In last 9 Years

Kumari Sonali

Public Sector Banks Write Off Over ₹12 Lakh Crore In last 9 Years:

The Ministry of Finance recently informed the Rajya Sabha that Public Sector Banks (PSBs) have written off more than ₹12 lakh crore in non-performing assets (NPAs) between FY2016 and FY2025. Despite the massive write-offs, efforts to recover the loans continue under various legal mechanisms. Simultaneously, a large-scale recruitment drive for 48,570 positions is in progress across PSBs, marking an important development in the banking sector. This development holds relevance for competitive exams under economy, banking, and governance sections.As per RBI guidelines, banks are allowed to write off NPAs after four years if full provisioning has been made. However, write-offs do not waive off borrower liabilities; banks continue to pursue recovery through legal channels

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