PSBs Write-Off Rs 42K-Cr Bad Debt In H1FY25

New Delhi: Public-sector banks (PSBs) have written off loans worth Rs42,000 crore in the first six months of the current fiscal, Parliament was informed on Monday.

State Bank of India (SBI) wrote off loans worth Rs8,312 crore, Punjab National Bank (Rs8,061 crore), Union Bank of India (Rs6,344 crore) and Bank of Baroda (Rs5,925 crore) during the April-September period.

“Such write-off does not result in waiver of liabilities of borrowers and therefore, it does not benefit the borrower. The borrowers continue to be liable for repayment and banks continue to pursue recovery actions initiated in these accounts through various recovery mechanisms available to them,” said Minister of State (MoS) for Finance Pankaj Chaudhary.

The loans written off by PSBs during April-September of the current fiscal stood at Rs42,035 crore, while recovery of Rs37,253 crore was made.