RBI says NPAs likely to rise more
By Joseph Samson
Aug 25, 2011
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Banking and monetary regulator Reserve Bank of India has indicated that there is probability of further rise in NPA level of banks. The concern was expressed by Anand Sinha, deputy governor, RBI. He however said that there is still no chance of any kind of systemic risk arising.

Systemic risk refers to risk which affects an entire segment, industry. It is catastrophic and also called uncontrolled risk.

"There are concerns that there might be some rise in NPAs. But it is not a systemic concern as of now," Sinha said.

"I would not say we are particularly worried about the retail loan segment. But the retail segment is the one that is likely to feel the pressure," he said.


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