Private sector lender RBL Bank Ltd. said on Thursday that the divergence in its gross bad loans at the end of financial year 2015-16 stood at Rs 339.30 crore.
Its gross non-performing assets as assessed by the Reserve Bank of India (RBI) was at Rs 547 crore, as on March 31, 2016, the bank disclosed in its annual report. While announcing its fourth quarter results, the bank had reported a gross NPA of Rs 208.05 crore. The net NPA showed a divergence of Rs 201.9 crore.
The divergence in provisioning reported during the year was at Rs 137.40 crore, the lender said.
RBL Bank’s disclosures come after the RBI directed banks to state divergences in NPA reporting in a notification in April this year. In financial year 2015-16, the regulator had conducted a review of bank books and had assessed a certain gross NPA number for them. In its April notification, the regulator said that if the bank’s reported NPA number for FY16 was lower by 15 percent than the number assessed by RBI, they must disclose that in their notes to accounts.
Larger private sector lenders such as ICICI Bank Ltd., Axis Bank Ltd. and Yes Bank Ltd. have all reported divergences in their respective annual reports over the last few weeks.
ICICI Bank had pegged its gross NPA at Rs 26,221 crore for the year ended March 31, 2016. The RBI, however, assessed bad loans at Rs 31,326 crore. The resultant divergence stood at Rs 5,104 crore.
Yes Bank, in its annual report, revealed that it had reported gross NPAs worth Rs 748.9 crore as on March 31, 2016, while the RBI pegged the gross NPAs at Rs 4,925.6 crore. The stock took a beating after the disclosure.
In the case of Axis Bank, the RBI’s assessed that the NPA number in fiscal 2016 stood at Rs 9,480 crore, the bank told analysts in a conference call after its March 2017 earnings. The lender had reported gross NPAs at Rs 6,087 crore in FY16.
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