Asset quality improves at Small Finance Banks, NBFCs

Asset quality improves at Small Finance Banks, NBFCs

Ujjivan Small Finance Bank said its gross non-performing assets ratio stood at 3.3% at the end of December 2022 as against 9.8% a year back. Suryoday’s gross NPA stood at 4.26% compared with 10.5% over the same period.

“Collection efficiency maintained at 99% plus, with restructured and NPA books showing healthy collections. The bank continues to focus on stressed buckets and reducing incremental overdues,” Ujjivan said in a regulatory filing to stock exchanges.

Suryoday said it sold a pool of stressed assets amounting to Rs 492 crore for Rs 135 crore in December. Out of this, Rs 64 crore was technically written off accounts and the balance are NPAs.

Ujjivan’s outstanding gross loan portfolio grew 33% year-on-year to Rs 21895 crore even as its loan disbursement in the last quarter has seen a muted 1% growth at Rs 4838 croreover Rs 4809 crore in the year ago.