India`s banking system doing well with annual growth rate of 15.90%: M Nagaraju
M Nagaraju, the secretary of the department of financial services under the finance ministry, has said that India’s banking system, including both public and private sector banks, is doing very well with an annual growth rate of 15.90 per cent, which is the highest ever in Indian history. The Non-Performing Asset (NPA) ratio across the Indian banking system has dropped to 0.40 per cent, which is lower compared to the previous tally, reflecting the sector's health and efficiency.
The secretary said banks now have a strong capital base, while lower NPAs are a key factor behind the robustness of the banking system. He said the government, under Prime Minister Narendra Modi, has launched a trade guarantee programme worth Rs 2.25 lakh-crore to support businesses, especially MSMEs impacted by the West Asia crisis.
Highlighting financial inclusion measures, he said several social security schemes have benefited millions of people over the past 12 years. Under the Pradhan Mantri Jan Dhan Yojana (PMJDY), a total of 58 crore accounts have been opened over its 12 years of implementation and 32 crore of those accounts belong to women. He said that 56 crore loans have been sanctioned under the flagship Mudra Yojana during the same period, of which 67 per cent have gone to women. He urged people to take bank loans to set up ventures and ensure timely repayment to become eligible for larger credit facilities.
