Government banks have performed well in the first half of the current financial year. The Finance Ministry said that during this period, the net profit of these banks increased by 26%, along with this, their business has also grown rapidly and non-performing assets (NPA) have also declined. The ministry also said that due to regular monitoring of the banks, their functioning has improved.
11% growth in business
The total business of 12 public sector banks was Rs 236.04 lakh crore during April to September. This is 11% more than the same period a year ago. In the first half, the credit portfolio of these banks grew by 12.9% to Rs 102.29 lakh crore and the deposit portfolio grew by 9.5% to Rs 133.75 lakh crore.
Operating profit also jumped
The operating profit of the banks has also increased, which increased by 14.4% to Rs 150,023 crore compared to last year. Net profit increased by 25.6% to Rs 85,520 crore. Apart from this, gross NPA came down to 3.12%, which has decreased by 108 basis points. Net NPA also decreased by 34 basis points to 0.63%.
Profit Rank of Banks
Punjab National Bank reported the highest profit, with its net profit rising 145% to Rs 4,303 crore. Canara Bank reported the lowest growth of 11% with a net profit of Rs 4,014 crore. Bank of Baroda had the second-highest net profit among all public sector lenders (Rs 5,237 crore).