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Indian State Banks Hold the Bad Debt

Indian State #Banks Hold the Bad Debt #ChartOfTheDay


  • India’s bad loan crisis started slowly in 2011, really accelerating in 2015
  • State banks hold 88% of India’s bad loans but only 71% of total loans
  • Private banks look more sound as the share of total bad loans in India is significantly less than their loan share
  • Foreign banks have a more proportional share of bad loans but it’s still below the foreign banks share of loans
  • Indian taxpayers may be hit twice as they potentially pay for both rescue packages for the state banks and losses following write-offs on non-performing loans


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