INTRODUCTION OF THE STUDY

An internship is a learning situation where the study has the opportunity to gain practical experience. when
placed in this situation students expand their concept of different organizational structure and different
working relationships within the workplace. In order to obtain academic credit for this experience the intern
is required to compete an internship project report.

Its very useful for developing and professionally while gaining confidence and real world experience
meeting and networking with practitioners in ones areas of interest mentoring and performance feedback
from the bank. Supervisor earning academic credit while getting paid.

TITLE OF THE STUDY.

"A STUDY ON NON-PERFORMING ASSETS AT BANGALORE CITY CO-OPERATIVE BANK,

BENGALURU"

STATEMENT OF THE PROBLEM

In our country banks through lending meet most of the credit requirement of corporate customers. Lending is
one of the financial services, which provide working capital to business. The main motto of co-operative
banks is to serve the weaker section of the people by providing loans and advances for the improvement of
weaker section of the society. Now a day the borrowers are not repaying the amount to the co-operative
banks regularly as per the due dates; it is affecting the performance of the banks. If the borrower doesn't pay
the principal and interest amount within 90 days it is to be considered as Non-Performing Asset.

NEED FOR THE STUDY

A high level of non-performing assets in the banking sector can severely affects the economy
in many ways. Firstly the financial resources of the banking system are diverted to the
resolution of NPA problems causing an opportunity loss for more productive use of such
resources.

SCOPE OF THE STUDY

The study is conducted at the benglore city co-operative bank, chamarajpet which covers the
operational jurisdiction of above stated bank and the study covers the data pertaining to 5
financial years namely 2013-14,2014-15,2015-16,2016-17,2017-18.
OBJECTIVES OF THE STUDY

1. To understand the concept of Non-Performing Assets at Bangalore City Co-operative Bank.

2. To study the reasons for assets to become Non-Performing Assets.
3. To know the ways and means to manage Non-Performing Assets.
4. To study the measures taken by Bangalore City Co-operative Bank.
5. To offer suggestions based on findings of the study in Bangalore City Co-operative Bank.

Review of literature:

1. CP Chandrasekhar and JayatiGhosh (2018) highlighted that According to RBI‟s financial stability
report, June, 2016 the problems in banking sector were tremendously rising due to deteriorated asset quality
and decreasing profitability, as systemic risk had increased because of changes in the nature of bank
exposure . The study showed that restructuring & recapitalization process which were associated with the
post-1991 „reforms‟, had resulted in a sharp decline in the ratio of gross NPAs to gross advances from 15.7
% in 1996-97 to 2.3 % in the year 2008-09,( the year of the global financial crisis).However, since then
reversal in trend had been noticed , with the NPA ratio increasing to 3.4 % in 2012-13, 4.6 % in 2014-15 and
7.6 per cent in 2015-16.

2.VivekRajbahadurSingh(2018) conducted research on the topic , “ A Study of Non-Performing Assets of

Commercial Banks and it’s recovery in India”. The research aimed at studying the status of NPAs and its
impact on commercial banks. Study was conducted on secondary data of 14 years (2000-2014). the study
resulted that Gross NPAs of scheduled commercial banks had increased from Rs. 708 Billion in year ending
2001 to Rs 2642 Billion in the year ending 2013 and Net NPAs of scheduled commercial banks had
increased from Rs. 355 Billion in the year 2000- 01 to Rs. 986 Billion in the year 2012-13. Furthermore,
study revealed that NPAs as a percentage of net advances was lowest at 1.0 % in the years 2007-08 & 2008-
09 and it was the highest at 5.5 % in the year 2001-02. In the year 2013-14, it was at 2.2%. Author further
suggested the management of banking sector to speed up the recovery process.

3. Malhotra.M (2017)analyzed that NPAs pose a notable threat for the Banks in India. Nonperforming
assets must be managed properly and certain curative measures should be taken for the healthy and stable
environment of banks in India. They further explained the positive impact of priority sector lending‟s on
NPAs. Recession had been considered another major reason for rising NPAs in Indian banks.

4.RBI (2017) : As per baseline scenario projection by the Reserve Bank of India in its Financial Stability
Report , Gross bad loans of commercial banks could rise to 8.5 per cent of total advances by March 2017,
from 7.6 per cent in March 2016, “The macro stress test that under the baseline scenario, the gross NPA may
rise to 8.5 per cent by March 2017,” It stated that if the macro situation would deteriorate further, then the
gross NPA ratio may increase to 9.3 per cent by March 2017.
5.Kumar (2016) had conducted a study on, “ A Comparative Study of NPA of Old Private Sector Banks and
Foreign Banks”. According to him Non-performing Assets (NPAs) were becoming burden for the Indian
banking sector for the past several years. Accumulation of NPAs in the banks was one of the major
challenging issues that had deteriorated the performance of commercial banks in the late 90s. He further
suggested that the quality of loan portfolio was crucial factor for the soundness and survival of the banks.
They concluded that increasing nonperforming assets had several implications on operations, stability,
liquidity, solvency, capital adequacy, profitability and goodwill of the bank

6.Narula and Singla (2016) endeavoured to discover the NPAs of Punjab National Bank and its sway on its
productivity and to assess the connection between Total Advances, Net Profits, GrossNPAs and Net NPAs.
The examination depended on auxiliary information which was gathered from yearly reports of Punjab
National Bank for the time of six years from (2007-2012) This paper reasoned that there was a positive
connection between Net Profit and NPAs of Punjab National Bank. It was because of bungle in the direct of
banking framework

7.Satpal (2016) led think about on the subject , "A Comparative investigation of Non-Performing Assets in
Open and Private Sector Banks in the New Age of Technology". The examination went for appearing the
previous five year’s pattern of NPAs in banks and to lead near investigation of NPAs openly also, private
area banks. The examination uncovered that NPAs were especially higher in open part banks as contrast with
private banks. What's more, NPAs in Indian banks were higher than remote banks. The examination
proposed government to make more arrangements for brisk settlement of cases and the dimension of
necessary loaning to need division ought to be decreased.

8.Z.AHMAD(2016) directed an investigation on "Relative Study on NPA Management of Nationalized

Banks", The investigation was embraced to find out the situation of NPAs in chose open segment banks, to
know its pattern and look at the NPA dimension of chose nationalized banks. Information was gathered for a
long time and examined by utilizing factual apparatuses, for example, CGR, ANOVA. It was discovered that
in all the nationalized banks, the dimension of both gross NPA and net NPA was on upward pattern yet there
was distinction in development rate. Among every one of the banks first positions of normal gross and net
NPA was of Andhra Bank and Cooperation Bank. The think about presumed that ill-advised administration,
resolved defaults, poor observing were primary driver of NPAs . Auspicious move should have been made to
fix the issue.

9.Selvarajan and Vadivalagan (2015) directed an examination on ," Management of Non-Performing

Resources in Priority Sector reference to Indian Bank and Public Sector Banks (PSBs)" They worried after
expanding loaning to the need segment. They further included that Indian Banks had slippages in controlling
NPAs in the early long periods of decade .Hence, it had turned out to be vital for the administration of banks
to give uncommon consideration towards the NPA the executives and take proper and preventive measures to
stop the making of new NPAs, other than making recuperations in effectively existing NPAs. Auspicious
activities were prescribed to guarantee development and accomplishment of the Bank.
Conclusion on review of literature

Literature review is an important aspects of any research project. As its name implies, literature review
involves the collection of ideas, view, position and opinions, expressed in the writing of recognised
authorities as well as finding the research in the area of NPA.

Similarly describes the review of related literature as systematic identification location and analysis of
documents containing information about what had already been done how they were done and with what
result.

RESEARCH METHODOLOGY

The study on Non-Performing Assets is like a descriptive in nature which is related to Bengaluru cooperative
bank. In this type of research the financial data of Bengaluru cooperative bank for 5 years are obtained and
study on information about NPAs. This research completely based on financial statement and reports of
BCC bank.

DATA COLLECTION

The data collected from the study is divided as

Primary data: The primary data was obtained through interaction with the officers of the Bangalore City
Co-operative Bank Ltd.

Secondary data: Secondary data was collected from annual reports and documents, text books, websites and
RBI bulletins.

LIMITATIONS OF THE STUDY

 The solutions are not applicable to every bank.

 Due to time constraint in depth analysis could not be made.
 The study is related to Bangalore City Co-operative Bank only, not compared with any other banks.

CHAPTER—2

INDUSTRY PROFILE:
Introduction to service sector:

India's services sector has always served the country’s economy well and currently accounting near about 60
per cent of the gross domestic product (GDP). In this regard, the financial services sector has been an
important contributor.

The Government of India has introduced reforms to liberalise, regulate and enhance this industry. At present,
India is undoubtedly one of the world's most vibrant capital markets. Challenges remain, but the future of the
sector looks good. The advent of technology has also aided the growth of the industry. About 75 per cent of
the insurance policies sold by 2020 would, in one way or another, be influenced by digital channels during
the pre-purchase, purchase or renewal stages, as per a report by Boston Consulting Group (BCG) and
Google India.

The service sector consists of the soft parts of the economy such as insurance, government, tourism,
banking, retail, education, and social services. In soft-sector employment, people use time to deploy
knowledge assets, collaboration assets, and process-engagement to create productivity, effectiveness,
performance improvement potential and sustainability. Service industry involves the provision of services to
businesses as well as final consumers. Services may involve transport, distribution and sale of goods from
producer to a consumer as may happen in wholesaling and retailing, or may involve the provision of a
service, such as in pest control or entertainment. Goods may be transformed in the process of providing a
service, as happens in the restaurant industry or in equipment repair. However, the focus is on people
interacting with people and serving the customer rather than transforming physical goods.

Market Size:

The size of banking assets in India reached US$ 1.8 trillion in FY13 and is expected to touch US$ 28.5
trillion by FY25. Information technology (IT) services, the largest spending segment of India's insurance
industry at Rs 4,000 crore (US$ 649.31 million) in 2014, is projected to continue strong growth at 16
percent.The total market size of the insurance sector in India was US$ 66.4 billion in FY13 and is expected
to breach the US$ 350–400 billion mark by 2020.Investment corpus in India's pension sector could cross
US$ 1 trillion by 2025, following the passage of the Pension Fund Regulatory and Development Authority
(PFRDA) Act 2013, according to a joint report by CII–EY on Pensions Business in India. India’s foreign
exchange (Forex) reserves touched US$ 320.56 billion on July 25, 2014, which was just US$ 23 million less
than the all-time high of US$ 320.79 billion achieved on September 2, 2011.Share of Services in Income and
Employment: The share of services in overall GDP (at factor cost at 2004-05 prices) rose from 42.7% in
1990-91 to 60 % in 2014-15. However the share in employment is just nearly 25%.

Introduction to banking sector

The word bank originating from French word ‘Banque’or Italian word “banco”. An office for financial
exchange assumed control on the seat and work area utilized as counters then the German word 'Bank'
implies it's a joint stock reserve or a typical store from vast number of open.

Banking in India was originated in the 18th century. The first bank in India, general bank of India was
established in 1786 followed by bank of Hindustan and Bengal bank. later in 1991 Imperial bank was
established by amalgamating bank of Bengal, bank of Bombay and bank of madras. Reserve bank of India
was set up in 1935. To improve the functioning of commercial banks govt of India came up with the banking
regulation act in 1949.

In 1955,imperial bank of India was nationalised with extensive banking facilities with special focus rural and
semi urban areas. Govt formed state formed state bank of India to act as a principal agent of RBI to handle
the transaction of union and state government. Seven banks were nationalised as subsidiary of state bank of
India on 19th july 1959. Later in 1969,14 major commercial banks were nationalised.

In Indian Banking System, Cooperative banks exist by every, additional by corporate stores and recognize a
correlative section happening generous need-based store. especially for common and cultivating set up
procedure counting making, dairy animals deplete, agonizing fixation, individual back and whatever together
some little endowers and self-decision work driven activities.

Section 5(1)(B) of the banking regulation act,1949 defines banking as “ the accepting for the purpose of
lending or investment, of deposits from public, repayable on demand or otherwise and withdrawal by
cheque, draft, order or otherwise”.

Section 5(1)(c) defines a banking company as,” Any company which transact the business of banking in
India”

According to R.S Mayers, “Bank are institutions whose debts are referred to as ‘bank deposits’and they are
commonly accepted in final settlement of other people’s debts

Banking structure in India

HISTORY OF CO-OPERATIVE BANK IN INDIA

The co-operative banks were begun in India 1904 with the point of protest give fund to agriculturists to
beneficial reason at little rates of premium likewise there by mitigates them from grips of the cash
moneylenders. Under co-operative society's Act 1904, substantial number of rural credit social orders were
setup in the towns. In 1912 the agreeable society’s contributed for the set up of focal co-specialist banks and
state co-agent banks to give re-back to essential credit social orders which couldn't assemble finances by
their own particular endeavours. It offered inclement to the co-agent credit development in India.

The co-operatives banks and social orders play out a key part in get-together prerequisite of the people in the
country regions co-agent banks and locale substances without anyone else's input with partitioned ward and
free top managerial staff. The co-specialist premise are sorted out by the co-agent banks and one represented
by individual state government certain arrangements of the managing an account control act additionally
connected to co-agent banks in India are elected in their structure.

Central Bank of India began re-financing co-agents for regular agrarian activities from 1939. From 1948,
Federal Reserve Bank began re-financing state co-specialist banks for meeting the grandness needs of focal
co-operator banks and through them the main agrarian co-agents social orders. Exclusively third of rustic
families cultivate credit in 1951.

Co-operative bank is an entity which is formed by its members who are both owners and customers of the
bank. These banks are created by persons belonging to the same community or sharing a common interest.
According to Devine “cooperative bank is a mutual society formed, composed and governed by the proper
working of employee that encourages regular saving and granting small loans on easy terms of interest and
easy payments”
CO- OPERATIVE BANK STRUCTURE

Cooperative credit institutions

Rural coopearative credit Urban cooperative banks

institutions

State
cooperative Long term
bank structure

District Primary primary

State SState coopeartive
central agricultural cooperative
cooperative and rural
cooperative credit and Rural
bank developement
bank societies developement
bank
bank
Future growth and Prospectus

While the blueprint for this is being drafted, it is for sure that the co operative banks, which currently
account for around 70 per cent of the industry, will lose their market share probably to 60 per cent by 2025.
Talking about NBFCs, the flavour of the next few years will be financing affordable housing. The
government is betting big on this. Its mission is ‘Housing for All by 2022’ and it is backing this up with
fiscal incentives. A burgeoning housing sector fuels economic growth as it has a multiplier effect in terms of
sale of cement, steel and other housing material, and can create jobs, and lead to increased investment in
education.

Even though the little over Rs 12-billion Indian mortgage market has been growing at around 18-19 per cent
every year, its size is too small in relation to the economy -- around 9 per cent of the GDP, less than half of
what it is in China. Singapore’s mortgage market is 32 per cent of its GDP, lower than Hong Kong’s 41 per
cent, and in the US and the UK, it is 81 per cent and 88 per cent of the GDP, respectively. In Denmark, the
southernmost and smallest of the Nordic countries, the mortgage market is 104 per cent of the GDP. It has
been a vision to develop co-operative banks sector into Nationalised banking sector. In order to compete
against the nationalised banks, co-opertive banks has been trying to digitalise their transaction by using
updated technology.
COMPANY PROFILE.

The Bangalore City co-operative Bank Limited, with its principal Urban Co-operator Bank in India set up by
Sri. K. Ramaswamaiah and other Co-operative in the midst of the beginning of the Co-operative
improvement in our country, with prime challenge of engaging thrift and save reserves inclination among the
all-inclusive community and to free the people from the hold of private money banks.

At first the bank started as a credit co-operative Society in the year 1905 and later changed over as Urban
Co-specialist Bank on 06-04-1907. The bank began with 150 people, gathered offer capital of Rs.2727 from
them and moreover arranged Deposits of Rs. 2265 from which outstanding Rs4036, - and apportioned
benefit at 13.02% in the initiation year. Today the total business of the banks has crossed Rs. 1300.00 crores
and now it is set as Top Urban Co-operator bank of the State of Karnataka.

The Bank is dealing with the sound norms of co-task and successfully completed more than 100 years of
keeping cash organisations. The bank is perseveringly making advantage since from the date of its start and
administering benefit people and moreover in "A” Grade Audit portrayal. Visionary and direct boss on the
board and committed capable staffs arc accountable for this achievement.

The bank is working on the sound standards of co-activity and effectively finished over 100 years of
managing an account administration. The bank is persistently making benefit since ; from the date of its
beginning and dispensing profit to its individuals and furthermore in 'A' Grade Audit Classification.
Visionary and straightforward executives on the board and committed proficient staffs are in charge of this
accomplishment.

City co-operative bank commend silver Jubilee in 1932, Golden Jubilee in 1957, Diamond Jubilee in 1967,
Platinum Jubilee in 1977 and centennial festivals on 31-03-2007.

The Bengaluru city cooperative bank has his own style of functioning individually but collectively is a
bengaluru city operative team members which is the brand equity of bank. The different style of BCC bank
in administration has a unique in the industry and All of the majority decisions taken by only top level
management. Totally the style of bengaluru city cooperative bank is fallowing Democratic style.

Thebengaluru city cooperative bank has to be faithful and friendly financial partner for their clients.

The bank is also the concern for middle class groups and moderate income group in the society for
financial inclusions. All of the product and services are target the above groups.
The bengaluru city cooperative bank adopted Customer Relationship management strategy to the retain
customers.The bengaluru cooperative bank employees should have minimum qualification .they are
conducted aptitude test and written test. The bank has selected the people based on their performance.

Bank is reserved one place for woman and one for backward class members in the board of directors. The
bank is also providing training about updated technology to executives, officers and workmen in the
industry.

The framework and methods of the bank are tried one on sound and logical establishment. The framework
and strategies are altogether characterized and are accessible with all the pecking order as no compelling
person to know premise. The as of late grown best practice codes and conduct rehearses are the managing
elements of the framework winning. The all around organised procedure manuals are accessible for the
practical regions, be it business or organised or assessment and review.

The bengaluru cooperative bank has total strength of 225. The bank decided to willopoint 30 posts becouze
of establish various branches at Yalahanka,Kuvempunagar,AndAnjannagar. The BCC bank also providing
the Group Mediclain Policy to employees and their families.

The details information regarding the staff of the BCC bank can be shown by the under

General manager 01
Deputy general manager 02
Assistance general manager 03
Branch manager 22
Assistant accountant 29
Senior accountant 61
Junior accountant 61
Daffedar 22
Attender 40
Total 225

The shared values of bengaluru city cooperative bank are customer satisfaction and customer happiness and
other values are makes customer smile and happy through providing excellent banking services.

MILESTONES:
1905-1950  The Bangalore cooperative bank which was first begun as cooperative society in the
year 1905 and later secured as urban cooperative bank in the year 1907.
 Granted as the “Best Urban Cooperative bank” and respect with testament and
Moving Sheila amid the year 1926,1927,1928, by the maharaja Sri Sri Sri
Kanteerava maharaja odeyar bahadur.
 Bank commended silver celebration in 1932.

1950-1975  Bank commended golden jubilee in the year 1957 and

 Diamond jubilee in the year 1967.

1975-2000  Bank commended platinum celebration in the year 1977.

 The bengaluru cooperative bank was firstly opened the branches in Vijaynagar on
24-02-1980.
 The bank established 8 branches namely Jaynagar, Indiranagar, Shanthinagar,
Mahalakshmipuram, Sanjaynagar, Padmanabhanagar, and Koramangala during this
period.
 The BCC bank were crossed Rs50 corers in the year of 1977 and also crossed Rs
150 corers in 2000.

2000  The BCC bank increases the deposits to Rs 200 crores in 2002.
 Migration to window based banking.
Onwards  The bank opened the Avalahalli branch on 16-01-2002.
 The bank took the award as “Best Urban Bank” by the government of Karnataka in the year
2001-2002, 2003-2004 and 2007-2008.
 The bank commended the century celebration on31-03-2007.
 The opened branch in Jnanajyothi Nagar on 22- 03-2009.
 Deposit crores Rs 400 crores and loans & advances Rs 300 crores in the year 2009.
 The bank was purchased site at Nagarbavi from BDA.
 Total deposit raised from 400 to500 and Loans and Advances from 300 to 400
crores in the year 2010.
 The BCC bank did get the permission from RBI to open 3 branches at Ramnagar,
Krishnarajpuram& HRBR layout.
 The bank had provided Rs 500000 for thousands of people have lost their lives and
damaged property due to the earthquake in Nepal in 2016.
 Increases deposit to Rs 1530.52 crores on 30-09-2017.
 The Mysore parks club, Lalbagh, Bangalore, honoured the part by organizing a host
of horticultural heritage and awarded the first price at the floral exhibition
completion held in 2018 Republic day and Independence Day.

VISION

• The Bangalore City Co-operative Bank assumes that every individual from each stratum of society needs
direct, germane and quality sparing cash to fulfil singular wants. The vision of the bank is to persistently
attempt towards meeting this social need by giving world-class structure to co-operator sparing cash.
• Providing managing an account benefit with a grinning face to influence our Customers to grin.

• To assemble stores, dispense credits judiciously and contribute surplus astutely with the inclusion of our
conferred, committed and persevering staff to accomplish the best.

MISSION

The Bangalore Co-operative Bank Ltd trusts that each person from every stratum of society require
reasonable, pertinent and quality.

• To attempt saving money exchange on co-agent framework according to heading of RBI, focal government
and state government.

• Give money related and specialized help to jobless people for foundation of claim industry or unit.

• To give promise credit on gold trimmings for individuals and ostensible individuals.

• To get investors from beneficent put stock in, combined and different organizations.

• To energize sparing, self improvement and co-agent standards among the individuals and contributors of
the bank.

• To bring absolute consumer loyalty by giving quality administrations.

• To meet the monetary and vocation goal of the representatives.

• To meet the developing goals of the client of the bank in evolving condition.

QUALITY POLICY

The quality philosophy is to perform and manage notoriety for quality in the business division by offering
things and association that outperform the fundamentals for our clients. We attempt to remain the bank of
first decision in all our thing and association. I'

• Caring customer advantage, predicting requirements and passing on proactive courses of action.

• It is the based quality organization structure and enhancing capacity of our through motivation, change and
affirmation.
 • State of the craftsmanship Information Technology and Communication System joined with relentless
change in light of effective measures and capable methods.

Awards and achievements

The Bengaluru city cooperative bank was got a Best Urban cooperative bank of then Mysore province for
the year 1923,1927,1928 from then yuvaraja of Mysore Sri Sri Sri Kanteerava odeyar Bahadur.

The Bengaluru city cooperative bank has also awarded as Best Urban Cooperative bank by the govt of
Karnataka in the year of 2001-2002,2003-2004 &2007-2008.

The BCC bank also got the award for 100 years completion of the banking services from the govt of
Karnataka on the occasion 0f celebration of centenary in cooperative movements.

AREAS OF OPERATION

The Bangalore City Co-operative Bank does not have any branches outside India. It has limited its
wildernesses to Bangalore locale as it were. The bank works in Bangalore city with its few branches in
Bangalore. and it's head Office at Chamarajpet Bangalore. The bank has used its territory all finished to
Bangalore. Presently the bank works its business with 22 branches in Bangalore city which offering
extensive variety of administrations to the client.

PRODUCTS/SERVICES PROFILE

Up to 2009 the bank had the limit to the region of its task to the city of Bangalore. In the year 2009 the bank
has stretched out its region of task to the entire State of Karnataka with the assent of Reserve Bank of India
and of Registrar of co-operator social requests of Karnataka.

The Bank is having its Administration office at No. 3, Pampa Mahakavi Road, Chamarajpet, Bangalore.

By and by bank is having 22 branches working in prime areas of BangaloreCity with claim working at
Chamarajpet, lndiranagar and has plans to extend its branch system to all the real urban communities of
KarnatakaState. For the accommodation of the clients and furthermore to give fast and attractive client
benefit all the branches are modernized and are working in client well disposed morning and night working
hours. The different items/administrations offered by the banks are:

PRODUCTS
  Lakshadipati repeating authentication
 Lakshadipati money authentication
 Arunodaya money authentication
 Rajatha money authentication

SERVICES

 Savings bank account

 Current account
 Recurring deposit account
 Fixed deposits
 Safe store lockers
 Insurance

SOCIAL COMMITMENT:

Aside from keeping money exercises our bank is additionally dedicated to social duties too: The Bank
used to offer generously to Chief Minister Liberation Deposit/Principal Minister Relief Supply of the
States at whatever point regular disturbances hit and people persevered.

Bank gave to manufacture a ward in the KIDWAI INSTITUTE OT TECHNOLOGY. BANGALORE

Bank sorted out Free Eye and Medical Check-up Campus for the individuals and overall population.

The Bank is urging merit understudy to improve the situation by recognizing and granting them.

The Bank likewise used to respect Best Customers of the bank. The Bank is likewise sorting out
Customers Meet to have a warm association with them.

Organisation Structure
The structure of bengaluru cooperative bank is as mentioned like the BCC bank has completely controlled
by a President, Vice President and also Directors. It consists of a president, a Vice President and 15
Directors.

The bengaluru cooperative bank has also different kinds of departments namely Accounts department,
Clearing department, Recovery department & Loan department.
The organisation structure of BENGALURU CITY OOPEARTIVE BANK is

President

Vice President

Board of directors

General Manager

Deputy General Manager

Branch Manager

Accountant

Assistant Accountant

Senior Assistant

Employees

Infrastructure facilities
The bengaluru city cooperative bank has good infrastructure facility. All the 22 branches are well equipped
with computer facilities. Each branch has the departments which are well furnished and proper lighting,
ventilation and drinking water facilities are arranged. All BCC bank branches are equipped with CCTV
camera system.
THE LIST OF COMPETITORS IS AS FOLLOWS:

 The Karnataka State Co-operative Apex Bank Limited

 Sir .M. vishvesvarayya cooperative bank limited
 Sree Thyagaraja cooperative limited
 The National Co-operative Bank Limited.
 Karnataka cooperative Bank limited.
 Corporation bank
 Srinagar cooperative bank
 Basavanagudi cooperative bank.

SWOT ANALYSIS

Strengths:

 The BCC bank focus on all kinds of customers. The bank target not only top brocket customers but
also small customer.
 The BCC bank has earned a good reputation in market through providing a quality service to its
customers.
 The BCC bank has a more than 100 years 0f vast experience in banking business.
 Support from the government.

Weakness:

 the BCC bank operates only in urban area.

 The BCC bank does not providing ATM facilities.
 The BCC bank no presence outside India,its works only in different cities in bangaluru.

Opportunities:

 Dissatisfied client of different banks.

 Up gradation of technology.
 Introduced insurance business and ATMs.

Threats:

1. Imposing of government principles and approaches on money related basic leadership of the bank like
waiver of advances and premium and so forth.

2. Frequently change in principles and rules by the RBI.

 3. There are an excessive number of business banks, which give reserves at bring down loan fees, which
can be huge dangers for bank.

4. It neglects to give refreshed office to their clients.

Future growth and prospects

Firstly the bank has a objective to raise deposits up to Rs 2100 cores and Loans &Advances to Rs1500 cores
and to increase net profit after expiration and depreciation to Rs 23 cores. In order to compete with other
banks BCC banks wanted to have own ATMs in convenient branches. They are in plan to conduct promoting
programs to bring awareness about their bank. To action as to put down net indebted assets at a zero level.
BCC is in planning to exercise training programs for staff to have professional skills. Arrange the programs
to visit more advanced cooperation institutions. To make an all branches to centre financial officers &to
support clients. Finally BCC banks are concentrating for foreign trade business.

THEORETICAL BACKGROUND
NON-PERFORMING ASSETS

Based on Narasirnham committee recommendations, RBI has implemented the prudential norms for
improving the financial health of commercial banks and the quality of their loan portfolio.
The concept of NPAs was introduced for the first time in the Narasimham Committee report that was tabled
in parliament on December 17th, 1991. The committee studied the prevailing financial system identified its
shortcomings and weakness and made various recommendations in order to make it regard to nonperforming
assets, their identification, disclosure and the extent of provisioning for the same.

A non-performing asset is defined as a credit facility in respect of which the interest and/ or instalment of
principles has remained "past due" for a specific period of time.

The major motive of all business undertakings is to maximise the wealth for its owners. The wealth can be
maximised by accelerating the revenues and reducing costs. The objective of wealth maximisation remains
un-achieved if all the revenues are not collected because non-collection does not reduce profits only but
erodes capital also. In addition to efforts On revenue front, some efforts should be made on capital front. The
investments in capital asset must be optimised. Unproductive investment/assets must be eliminated or
reduced in order to enhance the return on investment (R0I). All assets must contribute/ perform towards the
revenue and profitability of the business.

The quick changing monetary situation requires a dynamic modem financing to react to the necessities of
SMEs and administrations segment. Plus, the money related organizations need to assess the hazard
recognition occasionally in the wake of the progressions and plan the loaning standards to keep up quality
portfolio. NPA is an amassed used with cash related foundations that propose prompts that stay surely
understood risk of non-portion. Exactly when the mortgagor consumes disregard to repay thought or
standard bits pointed by the side of 90 days the progress of thought to be a non-performing asset. Non —
performing asset are unsafe for cash related affiliations mean while they depends on upon premium fragment
for cash. Disturbing weight from the arrangement compartment affect a puncturing extension in non-
performing credits and as regularly as possible achieves enormous shape — downs.

MEANING:

An advantage is assigned non-performing asset (NPA's) if obligation as focal and interest are not paid by the
account holder for a period of 180 days. Anyway with affect from March 2004, default status would be given
to an indebted person if commitments are not paid for 90 days. If any advance or credit. Workplaces yielded
by bank to an indebted person advances toward getting to be non-performing, at that point the banks should
treat all the impel/credit workplaces permitted to that account holder as non-performing without having any
regard to the path that there may make sure advances/credit office.

DEFINITION:

A Non-Performing Asset (NPA) is addressed by strategies for an affirmation office in yielding of which the
care or potentially piece of essential uses stayed 'past due' for a foreordained time circulation. In urgent
positions, slant is separate as non-performing once it breaks towards create pay gone for the board.

CLASSIFICATION OF NPAs

Banks are required to classify Non-Performing Assets into four categories based on the period for which the
assets have remained non-performing.

I. Standard assets

2. Sub-standard asset's

3. Doubtful assets

4. Loss assets

1. Standard assets: Standard assets are also known as performing asset. the asset which does not Pose any
problem as regards the recovery of principal and interest are called standard asset. These assets carry only
normal risk attaches to the business. Such assets are treated as performing assets.

2. Sub-standard assets: All those assets which are non-performing for the period of 12 months are known
as sub-standard assets. Sub-standard asset/ advances are those where the net worth of the borrower/guarantor
or the current market of the security charged under such cases is not enough to ensure recovery of the dues to
the bank in full. Such an asset will have well defined deficiencies that jeopardize the liquidation of the debt
and perhaps the bank will have to sustain some loss if weakness is not corrected. When instalment of term
loans is overdue for period exceeding one year.Such advances should be treated as sub-standard assets.

3. Doubtful assets: All those which are non-performing for the period of more than 12 months. When the
instalment of principal of term loans remained overdue for a period of exceeding 12mohths such term loans
are treated as doubtful.
4. Loss assets: All those which am not recoverable are considered as loss assets.When the loss on an asset
has been identified by bank's internal/external auditors or the RBI inspector but that amount has not been
written off wholly or partly is called as loss assets. Such an asset is uncollectable and is of such little value
that is not desirable to show it as banks asset though it may have some salvage or recovery value.

IMPORTANTS OF NPA MANAGEMENT:

NPAs particularly hit the efficiency of sets in a couple of ways. It makes capital roundness issues, capital
record convertibility issue, and asset hazard organization issue which besides hit the general picture and
rating of the gathering.

1. Loss of investors value: on-performing Assets if not recuperated are gathered off out of the
advantages of the board or by the by of the open door that to some degree earned require all the all
the more provisioning. Pointed benefit subsequently decreases financial specialists endorsement.
2. Capital sufficiency problems: Decreased benefits mean reduced advancing and only a section (1.25
for every Penny) of Risk Weighted Assets out of the entire provisioning made by a bank consolidated
into tier 2capital.
3. Capital account convertibility (CAC):Tara pore Committee recommended that CAC should not to
be introduced unless the NPA's of the Banks came down to less than 5 for every cash.
4. Asset risk mismatch: Increment in substandard and Doubtful Assets may set aside a few minutes
bucket dumbfounds and act both liquidity and advance expense chance organization.

EFFECT OF NPA ON PROFITABILITY:

Non-Performing Assets direct hit the Profitability of Banks in a couple of ways. NPAs reduce benefits in
absolute terms and productivity in rate terms.

1. These NPAs don't make any compensation and really, banks are required to keep up capital hold for their
provisioning.

2. Banks in like manner need to make higher administrative costs keep up these records. Irregularterritory of
NPAs in like manner cuts down the photo of the Bank as it is believed to be less capable.

3. Banks can't credit wage to their advantage and hardship record to the charge of propel record unless
recovery thereof happens.
4. Interest or diverse charges starting at now charged anyway not recovered must be exchanged and the plan
on the measure of Gross NPAs moreover should be made.

5. All the propel records of the borrower would be managed as NPAs if one record is r---- NPA

6. Non-Performing Assets if not recovered are to be made °flout of the advantage of the Bank. Therefore
decreased productivity accordingly lessens investors regard.

7. Reduced advantage suggests diminished advancing.

8. NPAs makes .Assets commitment screws up Increase M substandard and Doubtful assets may make
puzzles and stance both liquidity and-credit charge chance organizations.

TOOLS TO MANAGE NPAs:

Non-Performing Assets can't be discarded completely. This is a hard reality that must be recognized by
every Banker. NPAs can be simply decreased or restricted. The going with measures has exhibited
convincing/productive in diminishing the quantum of NPAs of the Banks.

1. Compromise plot/one time Settlement: - The arrangement was introduced in Banks, with a view to
recover the sticky records from borrowers who couldn't repay the Bank credit do to genuine inconveniences
like business frustration, change in monetary circumstances. Outdated advancement et cetera. An exchange
off may be as an exchange settlement in which the borrower agrees to pay a particular whole. A considerable
individual from deal proposals are being supported by Banks with a view to lessening the NPAs and reusing
of advantages rather than falling back on exorbitant recovery strategies spread over a long extend.

2.Lok Adalats:LokAdalats were made under genuine organizations master act 1987. These Adalats were
introduced lawful status and have created as accommodating method for settlement of open deliberation
among Banks and little borrowers. Their decisions are as consent declarations. and no intrigue lies against
their judgment and decision is legitimate on all social affairs. Basic technique code is material i.e. Adalats
can send summons. Ensure, begin ex-parte techniques and choose court procedures. Government has starting
late altered the monetary top of cases to be insinuated lok-adalats, dealt with by regular courts from 5 lakhs
to Rs 20 lakhs.

3) Corporate Debt Restructuring: This arrangement was displayed in 2001 with a view to set up. a
framework for advantageous and direct segment of revamping of corporate commitments of pragmatic
substances going up against issues, outside the see of DRT and other legitimate systems. In perspective of
the proposition of the working social occasion under the chairmanship in February 2003. Once the issue is
declined to the CDR system both the obliged individual and bank should agree to a legally confining “Stop"
where by both the social occasions present them not to making design of move to whatever other real action
in the midst a the stop time span (90 days or 180 days).

4) SARFAESI, ACT (Securitisation and Reconstruction of financial assets and enforcement of security
interest Act 2002).

The SARFAESI Act 2002 aims to empower bank as secured creditors to take possession, manage and sell the
securities without the intervention of restructuring company. However loan with balance below 100000 is
exempted from the purview of this act.

The SARFAESI Act2002,allow banks &financial institutions to auction properties when borrowers fail to
repay their loans. It enables banks to reduce their NPAs by adopting measures for reconstruction.

Data analysis and interpretation

4.1Table showing Gross NPAS and percentage change at BCC Bank for the period of 5
financial years

Years Gross NPA Absolute change Percentage change

2012-13 3797.59 - -

2013-14 5065.95 1268.36 33.40%

2014-15 5960.29 894.34 17.65%

2015-16 7013.92 1053.63 17.67%

2016-17 8473.81 1459.89 20.81%

2017-18 9029.55 555.74 6.56%

Analysis:
The above table which show the Gross NPAs of BCC bank. The highest change being 33.40% in the year of
2013-14 and least percentage change over the Gross NPAs value being 6.56% in the year of 2017-18.
4.1Graph showing Gross NPAs and percentage change at BCC Bank for the period of 5
financial years.

Object 3

Interpretation:

The above graph shows the gross NPA and percentage change like has decreasing from the year 2013-14 to
2017-18 and it shows the decreasing trend. This results in decrease in the risk of credit portfolio of bank
which is due to efficient recovery policies of the bank.
4.2Table showing Net NPA’s and percentage change at BCC Bank for the period of 5
financial years

Years Net NPA Absolute change Percentage analysis

2012-13 1072.05

2013-14 2115.88 1043.83 97.37%

2014-15 2325.49 209.61 9.91%

2015-16 2799.86 474.37 20.33%

2016-17 2811.17 11.31 0.40%

2017-18 3042.77 231.6 8.24%

Analysis :

The above table shows the Net NPA and percentage change of BCC bank for the period of 5 financial years.
The highest change being 97.37% in the year of 2013-14and the least percentage change being 0.40% in the
year of 2016-17.
4.2Graph showing Net NPA’s and percentage change at BCC Bank for the period of 5
financial years

Object 5

Interpretation:

The above graph portrays the net NPA and percentage change at BCC bank. From the graph its clearly
stating that the net NPA and Percentage of BCC bank is showing the falling trend . that is net NPA and
percentage in the year 2013-14 shows the rapid rise of 97.37%. and in 2014-15 there is an rapid fall of
9.91% again in 2015-16 there is a immediate rise of 20.33% and in 2016-17 there is a complete decline of
0.40% and in the year 2017-18 there is a slit rise of 8.24% . therefore net NPA and percentage of BCC bank
shows the falling trend for different 5 years.
4.3Table showing Gross NPA’s ratio of BCC Bank for the period of 5 financial years
Gross NPA
Gross NPA ratio = Gross Advance *100
Years Gross NPA Gross Advance Gross NPA’s
Ratio

2013-14 5065.95 84276.11 6.01%

2014-15 5960.29 89556.98 6.66%

2015-16 7013.92 99620.15 7.04%

2016-17 8473.81 123327.86 6.87%

2017-18 9029.55 130023.85 6.94%

Analysis :

From the above table show the Gross NPAs ratio of Bangalore city cooperative bank. The highest gross
NPAs ratios is 7.04% in the year of 2015-16 and least 6.01% in the year of 2013-14.
4.3Graph showing Gross NPA’s ratio of BCC Bank for the period of 5 financial years.

Object 9

Interpretation:

The graph depicts the Gross NPA ratio of BCC bank for a period of 5 financial years. As per the graphical
representation the gross NPA is in fluctuating trend. It neither shows the falling trend nor depicts the rising
trend. Its fluctuating year over the year. That is the gross NPA ratio of BCC bank for 2013-14 is 6.01%, in
2014-15is 6.66%,in 2015-16 is 7.04%,in 2016-17 is 6.87% and in the year 2017-18 it is 6.94% therefore the
gross NPA ratios of BCC bank is not stable and it is in fluctuating trend.
4.4Table showing Net NPA’s ratio of BCC Bank for the period of 5 financial years.
Net NPA− provisions
Net NPA Ratio= Net advances −provisions *100

Years Net NPA Net Advances Net NPA Ratio

2013-14 2115.88 81326.04 2.60

2014-15 2325.49 85922.18 2.71

2015-16 2799.86 95406.09 2.93

2016-17 2811.17 118665.22 2.37

2017-18 3042.77 124037.07 2.45

Analysis:

The above table shows Net NPAs of BCC cooperative bank. The highest Net NPAs ratio being 2.93% in the
year of 2015-16 and least Net NPAs ratio like 2.37% in the year of 2016-17.
4.4Graph showing Net NPA’s ratio of BCC Bank for the period of 5 financial years.

3.5

3 2.93
2.71
2.6
2.45
2.5 2.37

1.5

0.5

0
2013-14 2014-15 2015-16 2016-17 2017-18
Net NPA Ratio

Interpretation :

From the above chart it can observed that the Net NPAs is showing fluctuating trend and increasing in net
NPAs decreasing thr profitability as well as the performance of the bank.
4.5Table showing classification of non-performing assets of BCC bank for the period of
five financial years
Substandard assets
Non-performing assets = Doubtful assets * 100

Years Substandard assets Doubtful assets Loss assets

2013-14 4358.57 707.38 -

2014-15 4826.06 1134.24 -

2015-16 5336.03 1677.89 -

2016-17 6465.02 1862.78 146

2017-18 6044.53 2837.86 147.15

Analysis:
The above table depict the substandard assets, doubtful asset and the loss asset of BCC bank for the period 5
financial years. The highest substandard assets being 6465.02 in the year of 2016-17 and least like 4358.57.
the highest doubtful assets being 2837.86 in the year of 2017-18 and least will be in the year of 2013-14 is
like 707.38. The highest loss assets being 147.15 and least being 146 in the year of 2016-17.
4.5Graph showing of non-performing assets ratio of BCC Bank for the period of 5
financial years

7000
6465.02
6044.53
6000
5336.03
5000 4826.06
4358.57
4000

3000 2837.86

2000 1862.78
1677.89
1134.24
1000 707.38
146 147.15
0
2013-14 0 2014-15 0 2015-16 0 2016-17 2017-18
Substandard assets Doubtful assets Loss assets

Interpretation:

In the above graph the substandard assets are continuously increasing from 2013-14 to 2016-17 its a
increasing trend. The doubtful assets are continuously increasing from the year 2013-04 to 2017-18 and
finally the loss assets are raised from 146 to 147.15.
4.6Table showing sub-standard assets ratio of BCC bank for the period of five financial
years
Total−standard assets
Sub-standard assets ratio= *100
Gross NPA ' s

Years Total Substandard Gross NPA’s Sub-Standard assets

assets ratio

2013-14 4358.57 5065.95 86.03

2014-15 4826.06 5960.29 80.90

2015-16 5336.03 7013.92 76.07

2016-17 6465.02 8473.81 76.29

2017-18 6044.53 9029.55 66.94

Analysis :

The above table showing the sub standard assets ratio of BCC bank for the period of 5 financial year. the
highest sub standard assets ratio being 86.03 in the year of 2013-14 and least sub standard assets ratio being
66.94% in the year of 2017-18.
4.6 Graph showing of Sub standard assets ratio of BCC Bank for the period of 5
financial years

100

90 86.03
80.9
80 76.07 76.29

70 66.94

60

50

40

30

20

10

0
2013-14 2014-15 2015-16 2016-17 2017-18
Sub-Standard assets ratio

Interpretation:

Graph 4.6 shows the sub standard asset ratio of BCC bank for 5 years. from the above graphical
representation it is clear that sub standard asset ratio of BCC bank is in decreasing trend. That is in the year
2013-14 it is 86.03%, there is slit decrease in 2014-15 that is 80.9%, and in 2015-16 again decrease of
76.07%,but in the year 2016-17 there is a slit increase 0f 76.29%,there is slit debate/ decrease in 2017-18 of
66.94%.therefore the sub standard asset ratio of BCC bank shows the decreasing trend year over year.

4.7Table showing doubtful asset ratio of BCC bank for the period of five financial years
 total doubtful assets
Doubtful asset ratio = Gross NPA * 100

Years Total loss assets Gross NPA’s Doubt full asset

ratio
2013-14 707.38 5065.95 13.96
2014-15 1134.24 5960.29 19.02
2015-16 1677.89 7013.92 23.92

2016-17 1862.78 8473.81 21.98

2017-18 2837.86 9029.55 31.42

Analysis:

The above table showing the doubtful assets ratio of BCC bank for the period of 5 financial year. the highest
doubtful assets ratio being 31.42 in the year of 2017-18 and least doubtful assets ratio being 13.96% in the
year of 2013-14.and the doubtful asset ratio for 5 years is in decreasing trend.
4.7Graph showing of doubtful assets ratio of BCC Bank for the period of 5 financial
years
35
31.42
30

25 23.92
21.98
20 19.02

15 13.96

10

0
2013-14 2014-15 2015-16 2016-17 2017-18
Loss asset ratio

Interpretation:

Graph 4.7 showing doubtful asset ratio of BCC for the period of 5 financial years. From the graphical
representation its clear that the doubtful asset of BCC is in rising trend. That is in 2013-14 it is 13.96%, in
2014-15 there is slit increase of 19.02%, there is increase in 23.92% ,but again in 2016-17 is 21.98%. And
there is a rapid rise in the year 2017=18 of 31.42%.therefore doubtful asset ratio of BCC bank shows the
rising trend for 5 years.
4.8 Table showing loss assets ratio of BCC bank for the period of five financial years
total loss asset
Loss assets ratio = gorss NPA * 100

Years Total loss assets Gross NPA’s Loss asset ratio

2013-14 - 5065.95 -

2014-15 - 5960.29 -

2015-16 - 7013.92 -

2016-17 146 8473.81 1.722

2017-18 147.15 9029.55 1.629

Analysis:

The above table showing the loss assets ratios of BCC bank. As per the financial data there is no loss
incurred in the first 3 years namely 2013-14,2014-15,2015-16,2016-17,2017-18.the loss assets ratio of 2016-
17 is 1.722% and 2017-18 like 1.629%.
 2

1.8 1.72
1.63
1.6

1.4

1.2

0.8

0.6

0.4

0.2

0
2013-14
0 2014-15
0 2015-16
0 2016-17 2017-18
Loss asset ratio
4.8 Graph
showing of loss assets ratio of BCC Bank for the period of 5 financial years

Interpretation:

The above graph shows the loss assets ratios of BCC bank, its is a decreasing trend and highest will be in
the year of 2016-17 is 1.722% and first 3 years 0% of loss assets occurred.
4.9 Table showing provision ratio of BCC bank for the period of five financial years
Total NPA provision
Provision ratio = Gross NPA * 100

Years Total NPA Gross NPA’s Provision ratio

provision
2013-14 2950.07 5065.95 58.23

2014-15 3634.80 5960.29 60.86

2015-16 4214.60 7013.92 60.08

2016-17 4662.64 8473.81 55.02

2017-18 5986.78 9029.55 66.30

Analysis:

The above table depicts provision ratio of BCC bank. The highest provision ratio being 66.30% in the year
of 2017-18 and least provision ratio being 55.02% in the year of 2016.17.
4.9 Graph showing provision ratio of BCC bank for the period of five financial years

70 66.3
60.86 60.08
60 58.23
55.02

50

40

30

20

10

0
2013-14 2014-15 2015-16 2016-17 2017-18
Provision ratio

Interpretation:

The above graph shows the total provision ratio of BCC bank. The highest provision ratios being 66.3% in
the year of 2017-18.its shows the fluctuating trend in nature.
4.10Table showing Agricultural sector NPA of BCC Bank for the period of 3 year.

Year Agricultural Absolute Percentage

sector NPA change change

2014-15 60448

2015-16 59005 1443 2.39

2016-17 45459 13546 22.96

2017-18 37706 7753 17.05

Analysis:

The above table depicts total agricultural sector NPA of Bangalore city cooperative bank .the highest
percentage change being 22.96 in the year of 2016.17 and least being 2.39 in the year of 2015-16.
4.10 Graph showing Agricultural sector NPA of BCC Bank for the period of 3 year.

25
22.96

20
17.05

15

10

5
2.39

0
2015-16 2016-17 2017-18
Percentage change

Interpretation:
The above graph shows the agricultural sector NPA of BCC bank. Its depicts the fluctuating trend. The
percentage gradually increased from 2.39% (2015-16) to 22.96% (2016-17) and again in 2017-18 there is a
slit decreases/bated of 17.05% from the analysis it is observed that there is decrease in the NPA of
agricultural sector compare to 2015-16 and there is a increase in NPA in the year 2016-17.

4.11 Table showing small scale sector NPA of BCC Bank for the period of 3 year.

year Small scale sector Absolute change Percentage

NPA change

2014-15 3187670

2015-16 3187562 108 .0033

2016-17 3188595 1033 .0324

2017-18 3186884 1711 .0536

Analysis:

The above table portrays the small scale sector NPA of BCC bank for the period of 3
financial year. The highest percentage change being 0.0536% in the year of 2017-18 and
least percentage change being 0.0033% in the year of 2015-16.
4.11 Graph showing small scale sector NPA of BCC Bank for the period of 3 year.

0.06
0.05

0.05

0.04
0.03
0.03

0.02

0.01
0
0
2015-16 2016-17 2017-18
Percentage change

Interpretation:

The above graph shows the small scale sector NPA of BCC bank. From the analysis and the graph it has been
observed that small scale sector NPA of BCC bank in the year 2015-16 is 0.0033% that is lowest percentage
compare to the NPA of BCC bank in the year 2017-18 that is 0.0536% that is the increasing trend . therefore
the bank is unable to perform its obligation due to increased percentage of NPA in the year 2017-18 and the
bank is running under loss.
4.12 Table showing education sector NPA of BCC Bank for the period of 3 year.

Year Education sector Absolute Percentage

NPA change change

2014-15 9950
2015-16 10221 271 2.72
2016-17 11689 1468 14.36
2017-18 13002 1313 11.23

Analysis:

The above table portrays the education sector NPA of BCC bank for the period of 3 financial year. The
highest percentage change being 14.36% in the year of 2016-17and least percentage change being 2.72% in
the year of 2015-16.
4.12 Graph showing education sector NPA of BCC Bank for the period of 3 year.
16
14.36
14

12 11.23

10

4
2.72
2

0
2015-16 2016-17 2017-18
Percentage change

Interpretation:

The above graph shows the education sector NPA of BCC bank. From the above chart it is clear that the
education sector NPA of BCC bank is decreasing in the year 2015-16 that is 2.72% and rapid increase of
14.36 % in the year 2016-17 and again there is a sudden decline of 11.23%in the year 2017-18. Therefore the
NPA of BCC bank in education sector is fluctuating year by year.
4.13 Table showing Housing loans sector NPA of BCC Bank for the period of 3 year.
Year Housing loans Absolute change Percentage
sector NPA change
2014-15 1255845
2015-16 1356954 101109 8.05
2016-17 1569180 212226 15.63
2017-18 1551154 18026 1.458

Analysis:

The above table portrays the housing loans sector NPA of BCC bank for the period of 3 financial year. The
highest percentage change being 15.63% in the year of 2016-17and least percentage change being 1.458% in
the year of 2017-18.
4.14 Table showing Housing loans sector NPA of BCC Bank for the period of 3 year.
18

16 15.63

14

12

10
8.05
8

2 1.46

0
2015-16 2016-17 2017-18
Percentage change

Interpretation:

The above graph shows the housing loan sector NPA of BCC bank. From the graphical representation it is
clear that the housing loan sector NPA of BCC bank for the year 2015-16 is 8.05% and there is a slit increase
of NPA in the year 2016-17 that is 15.63% and there is a rapid decline in NPA of BCC bank in the year 2017-
18 that is 1.458%. it shows that the NPA of housing loan sector is in falling trend compare to past years.
Therefore bank has improved its recovery obligation in the year 2017-18.
4.15 Table showing retail trade sector NPA of BCC Bank for the period of 3 year.

Year Retail trade sector Absolute change Percentage

NPA change

2014-15 368299
2015-16 374565 6266 1.70
2016-17 384451 9886 2.64
2017-18 387471 3020 0.78

Analysis:

The above table shows the retail trade sector NPA of BCC bank for the period of 3 financial year. The
highest percentage change being 2.64% in the year of 2016-17and least percentage change being 0.78% in
the year of 2017-18.
4.15 Table showing retail trade sector NPA of BCC Bank for the period of 3 year.

3
2.64
2.5

2
1.7

1.5

1
0.78

0.5

0
2015-16 2016-17 2017-18
Percentage change

Interpretation:

The above graph shows the retail trade sector NPA of BCC bank. From the analysis and graphical
representation states that the retail trade sector of BCC bank in the year 2015-16 is 1.7% and in the year
2016-17 NPA is 2.64% that is slit rise in 2016-17 and 2017-18 there is a immediate fall in the NPA of BCC
bank so the bank is in fluctuating trend.
4.16 Table showing small business sector NPA of BCC Bank for the period of 3 year.

Year Small business Absolute Percentage

sector NPA change change

2014-15 476651

2015-16 481211 4560 0.96

2016-17 487056 4746 0.99

2017-18 496691 9635 1.98

Analysis:

The above table depicts the small business sector NPA of BCC bank for a period of 3 financial years. From
the year 2014-15 to 2017-18 and as per the table the least percentage is 0.96% in the year 2014-15 and the
rise the percentage is 1.98% in the year 2017-18.
4.16 Graph showing small business sector NPA of BCC Bank for the period of 3 year.

2.5

1.98
2

1.5

0.96 0.99
1

0.5

0
2015-16 2016-17 2017-18
Percentage change

Interpretation:

The above graph shows the small business sector NPA of BCC bank. From the graph it clearly states that
small business sector NPA of BCC bank for 3 financial years is rising over the years. That is the NPA in the
year 2015-16 0.96% there is a slit rise in the year 2016-17 that is 0.99 and in the year 2017-18 there is an
rapid rise of NPA is 1.98. the graph shows the rising trend in small business sector NPA of BCC bank.