SBI Research: How The Banking Sector May Significantly Surprise In FY21 On Asset Quality

SBI Research: How The Banking Sector Could Significantly Surprise In FY21 On Asset Quality

Employees work in the home loan clearing department at a bank in Mumbai (Photographer Dhiraj Singh/Bloomberg)

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

SBI Research Report

As we close in on winter of 2020, India’s financial sector is riding the pandemic with a positive surprise.

Notably, it is now apparent that the big fear of large slippage in asset quality of banks is unfounded with Indian banks guiding at much lower credit cost than even their Asian counterparts!

As far as our understanding goes, very few of the borrowers have till date applied for restructuring and incrementally such borrowers are likely to be much lower.

Click on the attachment to read the full report:

SBI Ecowrap - How the banking sector could significantly surprise in FY21 on asset quality - A case of sub game perfect nash equilibrium.pdf
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This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint.

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