Impact Of Institution Variables On The Non-Performing Assets Of Scheduled Commercial Banks In India

Abstract

The present paper is to determine relationship between institution variables and Gross NPAs Ratio and Net NPAs Ratio of scheduled commercial banks in India during 2001-01 to 2019-20. Here the institutional variables are Cash Reserve Ratio, Repo Rate, Reverse Repo Rate, Bank Rate and Statutory Liquidity Ratio considered for this study. The present study carried out on the basis of secondary data. For analyzing data, multiple regression analysis and correlation done using SPSS 20.0. The study found that, there is a significant relationship between Cash Reserve Ratio, Repo Rate, Bank Rate, Statutory Liquidity Ratio and Gross NPAs and Net NPAs of scheduled commercial banks in India. Based on the results it is concluded that institutional variables related to Reserve Bank of India also impacting on the Non-Performing Assets in India. Hence these variables are also considered as determining factors for the Non-Performing Assets in India.