NEW DELHI: Finance Minister Nirmala Sitharaman on July 6 asked heads of public sector banks (PSBs) to ensure fair and transparent recognition of bad loans and pursue robust risk management practices so as to maintain the momentum of growth and profitability. PSBs earned a record aggregate net profit of around Rs 1.05 lakh crore in FY2022-23, almost triple from net profits earned in 2013-14.
In the review meeting with the top management of PSBs, discussions were held on the positive macro trends, ..Sitharaman emphasised banks’ adherence to the regulatory framework by focusing on risk management, and diversification of business base.
She also urged the banks to ensure an increase in rural, agricultural and sectoral credit to meet the Priority Sector Lending (PSL) norms and further ensure that the PSL targets are achieved across all sub-categories.
