The Performance of Economic Sectors and Their Growing Non-Performing Assets in India
Abhishek Kumar1, Deepika Sharma2, Anubhav Singh3

1Abhishek Kumar*, Assistant Professor, Amity School of Business, Amity University, Patna, India.
2Deepika Sharma, Assistant Professor, TPS College, Patliputra University Patna, India.
3Anubhav Singh, Senior Research Associate, Centre for Marketing in Emerging Economies IIM, Lucknow, India.
Manuscript received on January 13, 2020. | Revised Manuscript received on January 20, 2020. | Manuscript published on February 10, 2020. | PP: 1-10 | Volume-9 Issue-4, February 2020. | Retrieval Number: A4446119119/2020©BEIESP | DOI: 10.35940/ijitee.A4446.029420
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Abstract: The Indian banking system of an economy is of foremost importance for its financial and economic development. It forms the core of the financial sector and plays a critical role in transmitting monetary policy impulses to the entire economic system. Hence the stability of banking sector is of paramount importance for the development of an economy. Non-performing assets(NPAs) or loans are growing issue in commercial banks especially in Indian Public sector banks which are facing huge losses due to accumulated NPAs over the past twenty year. As 90% of the total NPA is held with public sector banks, it is essential to focus on the procedure of giving loans by them and proper verification of collateral and other reliability to repay the loan. The extensive lending by the banks to companies during the boom phase of the economy(e.g.2008-09) without proper documentation (relaxed) leads to such rising NPA levels. This paper focuses on the accumulation of NPAs and its implications on sectors’ economic performance. It also specifically emphasizes the efficacy of SARFAESI Act, DRT tribunals, IBC (Insolvency Bankruptcy Code 2016) as mitigation of NPAs. The problem of double trust dilemma in the context of NPAs has been introduced is a case of investor and innovator. 
Keywords: Credit Risk, Gross NPA, Net NPA, Public sector and Private sector bank.
Scope of the Article: High Performance computing