Lok Sabha Question No. 3689 (UNSTARRED), answered on 2017-03-24
Subject: Provisioning Coverage Ratio
Ministry: FINANCE
Asked by: RAJESHBHAI NARANBHAI CHUDASAMA, S.P. MUDDAHANUMEGOWDA

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF FINANCIAL SERVICES

## LOK SABHA

## UNSTARRED QUESTION NO.3689

TO BE ANSWERED ON THE 24 th  March 2017/ Chaitra 3, 1939 (SAKA)

## Provisioning Coverage Ratio

## 3689.  SHRI RAJESHBHAI CHUDASAMA: SHRI S.P. MUDDAHANUME GOWDA:

Will the Minister of FINANCE be pleased to state:

- (a) whether  70  per  cent  Provisioning  Coverage  Ratio  (PCR)  is  mandatory  for  all  Public Sector Banks (PSBs) as per the RBI guidelines;
- (b) if  so, the details thereof along with the details of PSBs which have failed to maintain PCR as per the RBI norms during the last three years and the current year, bank-wise; and
- (c) the corrective action taken by the Government against such banks in this regard?

## ANSWER

The Minister of State in the Ministry of Finance (SHRI SANTOSH KUMAR GANGWAR)

(a)  to  (c):    As  per  Reserve  Bank  of  India  circular  dated  April  21,  2011,  the  Provision Coverage  Ratio  (PCR)  of  70  percent  may  be  with  reference  to  the  gross  NPA  position  in banks as on September 30, 2010. Further the surplus of the provision under PCR vis-a-vis as required as per prudential norms should be segregated into an account styled as 'countercyclical  provisioning  buffer'. Also  the  PCR  should  be  disclosed  in  the  Notes  to Accounts to the Balance Sheet. The details on PCR (Without Write-Off adj) (%) reported by PSBs during the last three years and current year is given in the Annexure.

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ANNEX

## Lok Sabha USQ No.3689 -Data of PSBs on Provision Coverage Ratio (Without Write-Off adj) (%)

| Bank/ Bank Group Name            | Provision Coverage Ratio (Without Write-Off adj) (%)   | Provision Coverage Ratio (Without Write-Off adj) (%)   | Provision Coverage Ratio (Without Write-Off adj) (%)   | Provision Coverage Ratio (Without Write-Off adj) (%)   |
|----------------------------------|--------------------------------------------------------|--------------------------------------------------------|--------------------------------------------------------|--------------------------------------------------------|
| Bank/ Bank Group Name            | 31/03/2014                                             | 31/03/2015                                             | 31/03/2016                                             | 31/12/2016                                             |
| ALLAHABAD BANK                   | 27.14                                                  | 28.47                                                  | 33.34                                                  | 33.12                                                  |
| ANDHRA BANK                      | 42.94                                                  | 46.36                                                  | 47.26                                                  | 44.44                                                  |
| BANK OF BARODA                   | 43.96                                                  | 42.96                                                  | 47.86                                                  | 51.65                                                  |
| BANK OF INDIA                    | 29.14                                                  | 19.52                                                  | 55.76                                                  | 47.45                                                  |
| BANK OF MAHARASHTRA              | 34.10                                                  | 30.89                                                  | 31.45                                                  | 30.75                                                  |
| BHARATIYA MAHILA BANK LTD.       |                                                        |                                                        | 48.34                                                  | 35.82                                                  |
| CANARA BANK                      | 19.83                                                  | 33.00                                                  | 35.85                                                  | 36.38                                                  |
| CENTRAL BANK OF INDIA            | 43.94                                                  | 42.66                                                  | 35.06                                                  | 37.37                                                  |
| CORPORATION BANK                 | 27.62                                                  | 36.69                                                  | 36.29                                                  | 33.97                                                  |
| DENA BANK                        | 25.88                                                  | 31.24                                                  | 38.81                                                  | 39.48                                                  |
| IDBI BANK LIMITED                | 49.86                                                  | 52.39                                                  | 43.11                                                  | 41.08                                                  |
| INDIAN BANK                      | 33.55                                                  | 35.48                                                  | 31.19                                                  | 34.99                                                  |
| INDIAN OVERSEAS BANK             | 29.15                                                  | 26.64                                                  | 31.26                                                  | 39.56                                                  |
| ORIENTAL BANK OF COMMERCE        | 30.34                                                  | 37.18                                                  | 32.38                                                  | 33.20                                                  |
| PUNJAB AND SIND BANK             | 22.67                                                  | 25.70                                                  | 29.95                                                  | 28.99                                                  |
| PUNJAB NATIONAL BANK             | 45.24                                                  | 37.85                                                  | 35.44                                                  | 35.74                                                  |
| STATE BANK OF BIKANER AND JAIPUR | 35.13                                                  | 39.93                                                  | 44.34                                                  | 28.63                                                  |
| STATE BANK OF HYDERABAD          | 45.53                                                  | 52.89                                                  | 43.21                                                  | 42.49                                                  |
| STATE BANK OF INDIA              | 39.95                                                  | 43.94                                                  | 40.58                                                  | 40.37                                                  |
| STATE BANK OF MYSORE             | 0.00                                                   | 47.50                                                  | 37.91                                                  | 39.55                                                  |
| STATE BANK OF PATIALA            | 36.02                                                  | 26.60                                                  | 47.80                                                  | 30.15                                                  |
| STATE BANK OF TRAVANCORE         | 33.06                                                  | 35.12                                                  | 37.67                                                  | 34.57                                                  |
| SYNDICATE BANK                   | 37.10                                                  | 37.47                                                  | 33.01                                                  | 35.30                                                  |
| UCO BANK                         | 44.81                                                  | 37.96                                                  | 37.19                                                  | 44.45                                                  |
| UNION BANK OF INDIA              | 37.73                                                  | 46.75                                                  | 41.96                                                  | 41.85                                                  |
| UNITED BANK OF INDIA             | 29.22                                                  | 37.09                                                  | 35.39                                                  | 37.59                                                  |
| VIJAYA BANK                      | 31.66                                                  | 31.51                                                  | 28.71                                                  | 33.13                                                  |
| Public Sector Banks              | 37.15                                                  | 38.01                                                  | 39.63                                                  | 39.32                                                  |

Source: Reserve Bank of India.