Public Sector Banks Write Off Rs 42,000 Crore Loans in Six Months

Public sector banks in India have written off loans worth Rs 42,000 crore in the first half of the fiscal year 2024. This includes both large corporate loans and smaller ones under various government schemes. The write-offs come amid efforts by the banks to clean up their balance sheets and improve asset quality. Many of these loans had turned non-performing, with banks taking steps to recover as much as possible before writing them off. The move highlights ongoing efforts to address the country’s banking sector issues, particularly the rising levels of bad loans. Despite the write-offs, banks remain optimistic about improving recovery rates in the second half of the year.