Some of the top public sector banks declared their quarterly results last week and senior analyst MB Mahesh of Kotak Institutional Equities says there have not been any major negative surprises. The results were in-line for some banks and better-than- expected for others, he says.
Some of the top public sector banks declared their quarterly results last week and senior analyst MB Mahesh of Kotak Institutional Equities says there have not been many negative surprises. From the point of view of fresh stressed assets, major pains in the banking system has already been recognized, he adds.
Speaking to CNBC-TV18 from the sidelines of Kotak Conference, Mahesh said the critical issue for Bank of Baroda (BoB) is how it grows its income and when it is able to align loan growth with the industry average. He said the bank has overcome concerns on asset quality, and is well capitalized now.
For State Bank of India (SBI), Mahesh noted reasonable slippages have come in from the watch list, and that infrastructure, iron and steel sectors continue to form bulk of the non-performing assets (NPAs) in the banking system.
To know more, watch video...
Exclusive offer: Use code "BUDGET2020" and get Moneycontrol Pro's Subscription for as little as Rs 333/- for the first year.