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PSBs saw record net profit growth of 31.3% YOY in first nine months of FY25

07-Feb-2025, 12:35

Ministry of Finance stated in a latest update that the performance of Public Sector Bank has shown significant improvement on key financial parameters during the first three quarters of the current FY 2024-25. The PSBs recorded record net profit growth of 31.3% (y-o-y) to achieve highest ever aggregate net profit of Rs. 1,29,426 Crore and aggregate operating profit of Rs. 2,20,243 Crore, in first nine months of the financial year. Improved asset quality is visible from significantly low Net NPA ratio at 0.59% (Aggregate net NPA outstanding of Rs. 61,252 Crore).

The PSB’s reported aggregate business growth of 11.0% (y-o-y), with improved aggregate deposit growth at 9.8% (y-o-y). Total aggregate business of PSBs reached Rs. 242.27 lakh crore. Robust credit growth of 12.4%, led by retail credit growth of 16.6%, agriculture credit growth of 12.9% and MSME credit growth of 12.5%. Built-up of adequate capital buffers, with Aggregate Capital to Risk Weighted Assets Ratio of 14.83%, are significantly above the minimum requirement of 11.5%. The Ministry noted that PSBs are adequately capitalized and well poised to meet credit demands of all sectors of the economy, with special thrust on Agriculture, MSME and Infrastructure Sector.