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Gelişen ve Gelişmiş Ekonomilerde NPA/NPL Yönetiminin Eleştirel Değerlendirmesi: Hindistan Bağlamında Bir Çalışma

Year 2022, Volume: 12 Issue: 2, 99 - 111, 15.10.2022

Mukul Mukul Ercan Özen Sanjay Taneja

Abstract

References

  • A critical review of non-performing assets in the Indian banking industry | Emerald Insight. (2008). Retrieved 31 March 2021, from https://www.emerald.com/insight/content/doi/10.1108/RAMJ-08- 2019- 0010/full/html#:~:text=Karunakar%20et%20al.,the%20problem%20of%20NPA%20accumulation.
  • A Singh, AK Sharma (2006), An empirical analysis of macroeconomic and bank-specific factors affecting liquidity of Indian banks. (2016). Retrieved 31 March 2021, from https://www.sciencedirect.com/science/article/pii/S2314721016000037.
  • Ashar, J. (2020). What are the solutions for non performing loans (NPLs)?. Retrieved 7 April 2021, from https://www.financialdirector.co.uk/2019/11/07/what-are-the-solutions-for-non-performing-loans- npls/
  • Balasubramanian, S. (2017). NPA resolution: What RBI can learn from China’s strategy against bad loans. Retrieved 7 April 2021, from https://www.livemint.com/Opinion/THhRqYhQRV5ftaTs5aHp7H/NPA-resolution-What-RBI-can- learn-from-Chinas-strategy-aga.html
  • Banerjee, R., Verma, D. and Jaiswal, B. (2018), “Non-performing assets: a comparative study of the Indian commercial banks”, International Journal of Social Relevance and Concern, 6(2), 5- 21.
  • Banking Sector Reforms and NPA. (2010). Retrieved 31 March 2021, from http://www.isec.ac.in/WP%20252%20-%20Meenakshi%20Rajeev%20and%20H%20P%20Mahesh.pdf
  • Barge, A. (2012). NPA Management in Banks: an Indian Perspective. IBMRD's Journal of Management and Research, Vol. 1, pp. 89-91. Retrieved 31 March 2021, from http://ibmrdjournal.com/index.php/ibmrd/article/view/47137
  • Bhaskaran, R., Bhalla, L., Sarin, V., Kaur, S., Rahman, A., Singh, G., Bhattacharya, A.M., Jha, A.K. an d Verma, P. (2016), “Non-performing assets of public and private sector banks in India – a comparative study”, International Journal of Services and Operations Management, 25(2), 155-172.
  • Bill, J. (2019). Smart Collection Strategies That Can Reduce NPA. Retrieved 18 March 2021, from https://www.outlookindia.com/outlookmoney/banking/smart-collection-strategies-that-can-reduce-npa- 3864
  • Dey, S. (2018). Recovery mechanisms of non-performing assets in Indian commercial banks: an empirical study. NSOU Open Journal, 1(2), 1223-1228.
  • FRB: Supervisory Letter SR 98-37 (SPE) on uniform interagency trust rating system -- December 23, 1998. (1998). Retrieved 31 March 2021, from https://www.federalreserve.gov/boarddocs/srletters/1998/SR9837.HTM
  • Gupta, B. (2012), “A comparative study of non-performing assets of SBI & associates and other public sector banks”, SIT Journal of Management, 2(3), 175-189.
  • Indian Journals. (2013). Retrieved 31 March 2021, from https://www.indianjournals.com/ijor.aspx?target=ijor:ajrbem&volume=3&issue=4&article=005
  • Karunakar, M., Vasuki, K. and Saravanan, S. (2008), “Are non-performing assets gloomy or greedy from Indian perspective?”, Research Journal of Social Science, 3, 4-12.
  • Komoni, A., Morina, F., Grima, S., Özen, E & Mazreku, İ. (2022). A Comparative Analysis Between Western Balkan Countries And Selected OECD Countries (2010-2019) of the Effect of Unemployment on Non-Performing Loan. Mehmet Akif Ersoy Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi, 9(1), 656-678.
  • Kumar, R.B., Subba Rao, B.V.S.S. and Kusuma, G.D.V. (2018), “Genesis for increase of NPAs in Indian banks – an empirical analysis”, Journal of Banking and Finance Management, 1(1), 1-8.
  • Kumar, S. (2018), “A study on Non-Performing assets of Indian banks: Trend and recovery”, International Journal of Electronics, Electrical and Computational System, 7(3), 457-462.
  • Meher, B.K. (2017), “Impact of demonetisation on NPA position of Indian banks”, International Journal of Advance Scientific Research and Engineering Trends, 2(1), 1-8. http://ijasret.com/VolumeArticles/FullTextPDF/116_IJASRET- Impact_of_Demonetization_on_NPA_position_of_Indian_Banks.pdf
  • Mittal, R. K., & Suneja, D. (2017). The problem of rising non-performing assets in banking sector in India: comparative analysis of public and private sector banks. International Journal of Management, IT and Engineering, 7(7), 384-398.
  • Mishra, M.K. and Pawaskar, J.R. (2017), “A study of non-performing assets and its impact on banking sector”, Journal for Research, 3(1), 1-5.
  • Mukhopadhyay, A. (2018), “Finding innovative solutions to India’s NPA woes”, available at: www.orfonline.org/research/finding-innovative-solutions-to-indias-npa-woes/
  • Paul Gilbert, U. (2020). The Bank of Canada’s Senior Loan Officer Survey. Retrieved 18 March 2021, from https://www.bankofcanada.ca/wp- content/uploads/2011/07/senior_loan_officer_survey_backgrounder.pdf
  • Rafi, S., Kumar, A., & Singh, G. (2013). An improved particle swarm optimization method for multirate filter bank design. Retrieved 31 March 2021, from https://www.sciencedirect.com/science/article/pii/S0016003213000203
  • Rajeev, M. and Mahesh, H.P. (2010), “Banking sector reforms and NPA: a study of Indian commercial banks”, Working Paper 252, Institute for social and economic change, Bangalore, India.
  • Release: Senior Loan Officer Survey. (2021). Retrieved 18 March 2021, from https://www.bankofcanada.ca/2021/05/release-senior-loan-officer-survey-2/
  • Sahni, D. and Seth, D.C. (2017), “Non-performing assets (NPAs) in Indian commercial banks”, International Journal of Engineering Science and Computing, 7(4), 6243-6247.
  • Sale of Non-Performing Loans by Malaysian banks - Bank Negara Malaysia. (2021). Retrieved 18 March 2021, from https://www.bnm.gov.my/-/sale-of-non-performing-loans-by-malaysian-banks
  • Segal, T. (2020). Nonperforming Loan – NPL. Retrieved 7 April 2021, from https://www.investopedia.com/terms/n/nonperformingloan.asp#:~:text=Key%20Takeaways-,A%20nonperforming%20loan%20(NPL)%20is%20a%20loan%20in%20which%20the,is%2090%20d ays%20past%20due.
  • Sengupta, R. and Vardhan, H. (2017), “Non-performing assets in Indian banks: this time it is different”, Indira Gandhi Institute of Development and Research Economic and Political Weekly, 52(12), 85-95.
  • Shalini, H.S. (2013), “A study on causes and remedies for non-performing assets in Indian public sector banks with special reference to agricultural development branch, state bank of Mysore”, International Journal of Business and Management Invention, 2(1), 26-38.
  • Sharma, G. (2018), “Unmasking the ordeal of growing NPAs in Indian banking sector”, International Journal of Business and Management Invention, 7(7), 43-50.
  • Shukla, A. (2020). Bad loans could balloon to their highest in 2 decades, warns RBI. Retrieved 7 April 2021, from https://www.newindianexpress.com/nation/2020/jul/25/bad-loans-could-balloon-to-their- highest-in-2-decades-warns-rbi-2174465.html
  • Singh, A. (2013), “Performance of non-performing assets (NPAs) in Indian commercial banks”, International Journal of Marketing, Financial Services and Management Research, 2(9), 86-94.
  • Singh, V.R. (2016). “A study of non-performing assets of commercial banks and its recovery in India”, Annual Research Journal of SCMS, 4, 110-125.
  • Swain, R. K., Sahoo, M., & Mishra, A. P. (2017). Non-performing assets of scheduled commercial banks in India: Its regulatory frame work. Parikalpana: KIIT Journal of Management, 13(2), 154-162. https://ksom.ac.in/wp-content/uploads/2018/01/Parikalpana-13ii.pdf#page=160
  • Thomas, R. and Vyas, R.K. (2016), “Loan recovery strategy in Indian banks”, International Journal of Commerce and Management Research, 2(12), 158-164.
  • The Fed - Supervisory Letter SR 13-19 / CA 13-21 on Guidance on Managing Outsourcing Risk -- December 5, 2013. (2021). Retrieved 31 March 2021, from https://www.federalreserve.gov/supervisionreg/srletters/sr1319.htm
  • Xiaochuan, M. (2005). Improving the Role of the Government in the Course of Financial Sector Reform. Retrieved 18 March 2021, from http://www.pbc.gov.cn/en/3688110/3688175/3708125/index.html
  • Want to reduce NPAs? – Here are the things to know! Sesameindia. (2018). Retrieved 1 April 2021, from https://www.sesameindia.com/blog/want-to-reduce-npas-here-are-the-things-to-know/

Critical Evaluation of Management of NPA/NPL in Emerging and Advanced Economies: a Study in Context of India

Year 2022, Volume: 12 Issue: 2, 99 - 111, 15.10.2022

Mukul Mukul Ercan Özen Sanjay Taneja

Abstract

Introduction- In a financial system-based economy, the banking system's performance and sound health are vital for developing the economy as financial intermediaries. After the global economic crisis, the financial system of advanced and emerging economies has suffered a growing volume of Nonperforming Assets (NPA) or Nonperforming Loans (NPL). Purpose- This paper explores the present status and management of NPA/NPL in advanced and emerging economies. In line with the international level in different nations of NPA/NPL’s the performance of the Indian banking system was evaluated. Research Methodology- Yearly time series data from 2011 to 2018 has been employed of 21 diverse nations, eleven are developed, and ten are developing. For picking the countries to compare and discover the measures to lower down the NPL, Malaysia, the US and Canada are chosen based on average performance and Compound Annual Growth Rate (CAGR). Findings- India's performance in NPA of the Banks has been very critical, which creates an urge for other financial sector reforms. Originality/Value- Data is has been mainly collected from the official websites of the Central Banks of various nations, thus it covers a wide countries group.

Keywords

NPA NPL Banking Developed Nations Developing Nations Financial management

References

  • A critical review of non-performing assets in the Indian banking industry | Emerald Insight. (2008). Retrieved 31 March 2021, from https://www.emerald.com/insight/content/doi/10.1108/RAMJ-08- 2019- 0010/full/html#:~:text=Karunakar%20et%20al.,the%20problem%20of%20NPA%20accumulation.
  • A Singh, AK Sharma (2006), An empirical analysis of macroeconomic and bank-specific factors affecting liquidity of Indian banks. (2016). Retrieved 31 March 2021, from https://www.sciencedirect.com/science/article/pii/S2314721016000037.
  • Ashar, J. (2020). What are the solutions for non performing loans (NPLs)?. Retrieved 7 April 2021, from https://www.financialdirector.co.uk/2019/11/07/what-are-the-solutions-for-non-performing-loans- npls/
  • Balasubramanian, S. (2017). NPA resolution: What RBI can learn from China’s strategy against bad loans. Retrieved 7 April 2021, from https://www.livemint.com/Opinion/THhRqYhQRV5ftaTs5aHp7H/NPA-resolution-What-RBI-can- learn-from-Chinas-strategy-aga.html
  • Banerjee, R., Verma, D. and Jaiswal, B. (2018), “Non-performing assets: a comparative study of the Indian commercial banks”, International Journal of Social Relevance and Concern, 6(2), 5- 21.
  • Banking Sector Reforms and NPA. (2010). Retrieved 31 March 2021, from http://www.isec.ac.in/WP%20252%20-%20Meenakshi%20Rajeev%20and%20H%20P%20Mahesh.pdf
  • Barge, A. (2012). NPA Management in Banks: an Indian Perspective. IBMRD's Journal of Management and Research, Vol. 1, pp. 89-91. Retrieved 31 March 2021, from http://ibmrdjournal.com/index.php/ibmrd/article/view/47137
  • Bhaskaran, R., Bhalla, L., Sarin, V., Kaur, S., Rahman, A., Singh, G., Bhattacharya, A.M., Jha, A.K. an d Verma, P. (2016), “Non-performing assets of public and private sector banks in India – a comparative study”, International Journal of Services and Operations Management, 25(2), 155-172.
  • Bill, J. (2019). Smart Collection Strategies That Can Reduce NPA. Retrieved 18 March 2021, from https://www.outlookindia.com/outlookmoney/banking/smart-collection-strategies-that-can-reduce-npa- 3864
  • Dey, S. (2018). Recovery mechanisms of non-performing assets in Indian commercial banks: an empirical study. NSOU Open Journal, 1(2), 1223-1228.
  • FRB: Supervisory Letter SR 98-37 (SPE) on uniform interagency trust rating system -- December 23, 1998. (1998). Retrieved 31 March 2021, from https://www.federalreserve.gov/boarddocs/srletters/1998/SR9837.HTM
  • Gupta, B. (2012), “A comparative study of non-performing assets of SBI & associates and other public sector banks”, SIT Journal of Management, 2(3), 175-189.
  • Indian Journals. (2013). Retrieved 31 March 2021, from https://www.indianjournals.com/ijor.aspx?target=ijor:ajrbem&volume=3&issue=4&article=005
  • Karunakar, M., Vasuki, K. and Saravanan, S. (2008), “Are non-performing assets gloomy or greedy from Indian perspective?”, Research Journal of Social Science, 3, 4-12.
  • Komoni, A., Morina, F., Grima, S., Özen, E & Mazreku, İ. (2022). A Comparative Analysis Between Western Balkan Countries And Selected OECD Countries (2010-2019) of the Effect of Unemployment on Non-Performing Loan. Mehmet Akif Ersoy Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi, 9(1), 656-678.
  • Kumar, R.B., Subba Rao, B.V.S.S. and Kusuma, G.D.V. (2018), “Genesis for increase of NPAs in Indian banks – an empirical analysis”, Journal of Banking and Finance Management, 1(1), 1-8.
  • Kumar, S. (2018), “A study on Non-Performing assets of Indian banks: Trend and recovery”, International Journal of Electronics, Electrical and Computational System, 7(3), 457-462.
  • Meher, B.K. (2017), “Impact of demonetisation on NPA position of Indian banks”, International Journal of Advance Scientific Research and Engineering Trends, 2(1), 1-8. http://ijasret.com/VolumeArticles/FullTextPDF/116_IJASRET- Impact_of_Demonetization_on_NPA_position_of_Indian_Banks.pdf
  • Mittal, R. K., & Suneja, D. (2017). The problem of rising non-performing assets in banking sector in India: comparative analysis of public and private sector banks. International Journal of Management, IT and Engineering, 7(7), 384-398.
  • Mishra, M.K. and Pawaskar, J.R. (2017), “A study of non-performing assets and its impact on banking sector”, Journal for Research, 3(1), 1-5.
  • Mukhopadhyay, A. (2018), “Finding innovative solutions to India’s NPA woes”, available at: www.orfonline.org/research/finding-innovative-solutions-to-indias-npa-woes/
  • Paul Gilbert, U. (2020). The Bank of Canada’s Senior Loan Officer Survey. Retrieved 18 March 2021, from https://www.bankofcanada.ca/wp- content/uploads/2011/07/senior_loan_officer_survey_backgrounder.pdf
  • Rafi, S., Kumar, A., & Singh, G. (2013). An improved particle swarm optimization method for multirate filter bank design. Retrieved 31 March 2021, from https://www.sciencedirect.com/science/article/pii/S0016003213000203
  • Rajeev, M. and Mahesh, H.P. (2010), “Banking sector reforms and NPA: a study of Indian commercial banks”, Working Paper 252, Institute for social and economic change, Bangalore, India.
  • Release: Senior Loan Officer Survey. (2021). Retrieved 18 March 2021, from https://www.bankofcanada.ca/2021/05/release-senior-loan-officer-survey-2/
  • Sahni, D. and Seth, D.C. (2017), “Non-performing assets (NPAs) in Indian commercial banks”, International Journal of Engineering Science and Computing, 7(4), 6243-6247.
  • Sale of Non-Performing Loans by Malaysian banks - Bank Negara Malaysia. (2021). Retrieved 18 March 2021, from https://www.bnm.gov.my/-/sale-of-non-performing-loans-by-malaysian-banks
  • Segal, T. (2020). Nonperforming Loan – NPL. Retrieved 7 April 2021, from https://www.investopedia.com/terms/n/nonperformingloan.asp#:~:text=Key%20Takeaways-,A%20nonperforming%20loan%20(NPL)%20is%20a%20loan%20in%20which%20the,is%2090%20d ays%20past%20due.
  • Sengupta, R. and Vardhan, H. (2017), “Non-performing assets in Indian banks: this time it is different”, Indira Gandhi Institute of Development and Research Economic and Political Weekly, 52(12), 85-95.
  • Shalini, H.S. (2013), “A study on causes and remedies for non-performing assets in Indian public sector banks with special reference to agricultural development branch, state bank of Mysore”, International Journal of Business and Management Invention, 2(1), 26-38.
  • Sharma, G. (2018), “Unmasking the ordeal of growing NPAs in Indian banking sector”, International Journal of Business and Management Invention, 7(7), 43-50.
  • Shukla, A. (2020). Bad loans could balloon to their highest in 2 decades, warns RBI. Retrieved 7 April 2021, from https://www.newindianexpress.com/nation/2020/jul/25/bad-loans-could-balloon-to-their- highest-in-2-decades-warns-rbi-2174465.html
  • Singh, A. (2013), “Performance of non-performing assets (NPAs) in Indian commercial banks”, International Journal of Marketing, Financial Services and Management Research, 2(9), 86-94.
  • Singh, V.R. (2016). “A study of non-performing assets of commercial banks and its recovery in India”, Annual Research Journal of SCMS, 4, 110-125.
  • Swain, R. K., Sahoo, M., & Mishra, A. P. (2017). Non-performing assets of scheduled commercial banks in India: Its regulatory frame work. Parikalpana: KIIT Journal of Management, 13(2), 154-162. https://ksom.ac.in/wp-content/uploads/2018/01/Parikalpana-13ii.pdf#page=160
  • Thomas, R. and Vyas, R.K. (2016), “Loan recovery strategy in Indian banks”, International Journal of Commerce and Management Research, 2(12), 158-164.
  • The Fed - Supervisory Letter SR 13-19 / CA 13-21 on Guidance on Managing Outsourcing Risk -- December 5, 2013. (2021). Retrieved 31 March 2021, from https://www.federalreserve.gov/supervisionreg/srletters/sr1319.htm
  • Xiaochuan, M. (2005). Improving the Role of the Government in the Course of Financial Sector Reform. Retrieved 18 March 2021, from http://www.pbc.gov.cn/en/3688110/3688175/3708125/index.html
  • Want to reduce NPAs? – Here are the things to know! Sesameindia. (2018). Retrieved 1 April 2021, from https://www.sesameindia.com/blog/want-to-reduce-npas-here-are-the-things-to-know/
There are 39 citations in total.

Details

Primary Language English
Journal Section Makaleler
Authors

Mukul Mukul This is me 0000-0002-7773-5641

Ercan Özen 0000-0002-7774-5153

Sanjay Taneja This is me 0000-0002-7773-5641

Early Pub Date October 14, 2022
Publication Date October 15, 2022
Submission Date July 12, 2022
Published in Issue Year 2022 Volume: 12 Issue: 2

Cite

APA Mukul, M., Özen, E., & Taneja, S. (2022). Gelişen ve Gelişmiş Ekonomilerde NPA/NPL Yönetiminin Eleştirel Değerlendirmesi: Hindistan Bağlamında Bir Çalışma. Yalova Sosyal Bilimler Dergisi, 12(2), 99-111.
AMA Mukul M, Özen E, Taneja S. Gelişen ve Gelişmiş Ekonomilerde NPA/NPL Yönetiminin Eleştirel Değerlendirmesi: Hindistan Bağlamında Bir Çalışma. YSBD. October 2022;12(2):99-111.
Chicago Mukul, Mukul, Ercan Özen, and Sanjay Taneja. “Gelişen Ve Gelişmiş Ekonomilerde NPA/NPL Yönetiminin Eleştirel Değerlendirmesi: Hindistan Bağlamında Bir Çalışma”. Yalova Sosyal Bilimler Dergisi 12, no. 2 (October 2022): 99-111.
EndNote Mukul M, Özen E, Taneja S (October 1, 2022) Gelişen ve Gelişmiş Ekonomilerde NPA/NPL Yönetiminin Eleştirel Değerlendirmesi: Hindistan Bağlamında Bir Çalışma. Yalova Sosyal Bilimler Dergisi 12 2 99–111.
IEEE M. Mukul, E. Özen, and S. Taneja, “Gelişen ve Gelişmiş Ekonomilerde NPA/NPL Yönetiminin Eleştirel Değerlendirmesi: Hindistan Bağlamında Bir Çalışma”, YSBD, vol. 12, no. 2, pp. 99–111, 2022.
ISNAD Mukul, Mukul et al. “Gelişen Ve Gelişmiş Ekonomilerde NPA/NPL Yönetiminin Eleştirel Değerlendirmesi: Hindistan Bağlamında Bir Çalışma”. Yalova Sosyal Bilimler Dergisi 12/2 (October 2022), 99-111.
JAMA Mukul M, Özen E, Taneja S. Gelişen ve Gelişmiş Ekonomilerde NPA/NPL Yönetiminin Eleştirel Değerlendirmesi: Hindistan Bağlamında Bir Çalışma. YSBD. 2022;12:99–111.
MLA Mukul, Mukul et al. “Gelişen Ve Gelişmiş Ekonomilerde NPA/NPL Yönetiminin Eleştirel Değerlendirmesi: Hindistan Bağlamında Bir Çalışma”. Yalova Sosyal Bilimler Dergisi, vol. 12, no. 2, 2022, pp. 99-111.
Vancouver Mukul M, Özen E, Taneja S. Gelişen ve Gelişmiş Ekonomilerde NPA/NPL Yönetiminin Eleştirel Değerlendirmesi: Hindistan Bağlamında Bir Çalışma. YSBD. 2022;12(2):99-111.
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