Author Login IJIRT Partner Network (IPN) Login

A Study on Impact of Non-Performing Assets on Banks' Liquidity and Profitability

  • Unique Paper ID: 149924
  • Volume: 7
  • Issue: 1
  • PageNo: 1056-1063
  • Abstract:
  • Non-Performing asset (NPA) denotes a classification for loans or advances that are if the scheduled payments of principal or interest amount default are in arrears. In most cases, when loan amount have not been paid for a period of 90 days then debt is classified as non –performing assest. Non-Performing Assets in Indian Banks are considered as the wealth, health & financial status of the industry and trade is the reflection of it. The accruing NPA exposes the banks to higher credit risk, rising due to the failure of non-recovery of loans. This study is make as attempt to analyse such impact of NPA on Bank’s performance. The methodology adopted for the study is by calculating select Liquidity and Profitability ratios and performing statistical tools to understand the relationship between liquidity and profitability of the banks and to measure the impact of NPA on Bank’s performance. The study revealed liquidity of the bank have a positive relation and profitability has a negative correlation with NPAs of the bank. Also, the findings reflect a major impact of NPA on Liquidity and a very less impact on Profitability.
email to a friend

Cite This Article

  • ISSN: 2349-6002
  • Volume: 7
  • Issue: 1
  • PageNo: 1056-1063

A Study on Impact of Non-Performing Assets on Banks' Liquidity and Profitability

Related Articles

Impact Factor
8.01 (Year 2024)
UGC Approved
Journal no 47859

Join Our IPN

IJIRT Partner Network

Submit your research paper and those of your network (friends, colleagues, or peers) through your IPN account, and receive 800 INR for each paper that gets published.

Join Now

Latest Publication

Archive

View More

Recent Conferences

NCSEM 2024

National Conference on Sustainable Engineering and Management - 2024 Last Date: 15th March 2024

Submit inquiry