In order to bring down its mounting non-performing assets (NPA), state owned Canara Bank is taking various measures including restructuring of loans. The bank’s overall NPA stood at 2.5% while Education Loan sector had an NPA of 9% which stood at about Rs 4,200 crore, followed by Agriculture with 6-7% and MSME sector with 5% NPA across the country.
The bank had launched a campaign two months ago wherein the officials from the bank would meet the students and their parents, enquire about their problems and suggest restructuring of their loans. The customers would accordingly be given more time from seven year to nine years to repay the loan. The bank received tremendous response from the campaign from which it was able to recover Rs 53 crore during the period.
