September quarter is expected to see another bunch of NPAs being reported or re-classification of stressed assets as NPAs, said Krishnan ASV of SBICAP Securities.

“Have NPLs(non performing loans) peaked? My answer would be not yet. I think we would still have September quarter to go. I think September quarter will see another bunch of NPAs being reported or at least stressed assets being re-classified as NPAs," said Krishnan.

“NPL recognition has been higher over a period of time post AQR,” he added.

Reserve Bank of India (RBI) has started the second round of asset quality review (AQR) and sent out a fresh list of 240-odd accounts that banks have to recognise as non-performing assets (NPAs).

RBI had launched AQR in the second half of 2015 under which its inspectors checked the books of all banks and identified bad assets.

First Published:Jul 30, 2018 10:26 AM IST