It is alarming that NPA of Public Sector Banks is increasing @ more than 25% every year. Gross NPA of all Public Sector banks in India in September, 2015 was more than Rs.3.14 Lac Crores. This figure is very high amount wise and is nearly 5.60% of the total advance figure of Public Sector Banks.
This means these Banks are recovering this loss of NPA from interest earned from good borrowers. In other words, it is well said that even though so called highly qualified and experienced management of banks, RBI and government is showing concern yet most affected are those borrowers, who have been paying their loans with high interest rates promptly.
Moreover, the Bank Managements are also victimizing their own staff and officials in the name of such bad loans, where bad borrowers are more responsible for such willful act rather than the staff and the officials.
Only conferences, meeting etc. are being held at various levels but the minimum action as to recovery proceedings against major willful defaulter has been taken.