VISHWANATH SAGAR S

18CBCOM105

NPA RESEARCH PAPER

Read the  research article NPA RPAPER  -1 and answer the following questions

1) What do you mean by the abstract of a research article? What did the
author/researcher study in this article?
Ans:
 A theoretical sum up, as a rule in one section of 300 words or less,
the major
parts of the whole paper in an endorsed grouping that incorporates: 1) the
general motivation behind the examination and the exploration problem(s)
you researched; 2) the fundamental plan of the investigation; 3) significant
discoveries or patterns found because of your investigation; and, 4) a short
synopsis of your understandings and ends.

 The creator/analyst contemplated that the current examination is to

comprehend the degree of Non-performing Resources (NPA), and
what it means for the productivity of the banks. For this reason, the
investigation thought about Gross and Net NPA of 10 Public and
Private area banks from April 2014 to Walk 2018. The examination
distinguished that both general society and private area banks
continuously increment their Gross and Net NPA during the period.
The investigation found that there is a critical positive connection
between Net NPA and Net NPA of public and private area banks. The
investigation additionally tracked down a huge negative connection
between NPA with Return on Resources (ROA) of public and private
area banks.
 2) Write any 3 literature reviews in the given research article and try to find
the gap which researcher has addressed in the article. Do you think that
any gap can be addressed further?
Ans:

(a) Shanabhogara Raghavendra (2018), this paper analysed the impact of the
NPA,

causes of NPA, and consequences of NPA in a commercial bank. This study

suggested that restructuring of the bank or financial organization,
improvement in financial deepening and modernization of appropriate skills
for up gradation of credit wordiness and one more thing is staff efficiency,
these are a most important thing to solve the present wilful defaulter's
system in India and world too.

(b) Rama Prasad and Ramachandra Reddy (2012), it is observed from the
study that there is a tremendous decline in NPAs of Andhra Bank as well in
Public Sector Banks during the study period, even though enormous
growth in advances. This resulted in the introduction of prudential norms.
The study suggested that the use of technology like core Banking Solutions
will bring change to Indian Banking to manage their non-performing assets.

(c) Shiralashetti A.S. and Lata.N.Poojari (2016), analyzed the causes of NPA
and impact of NPA on the profitability of the bank. The study found that
there was a moderate relationship exist

with Gross NPA and Net profit of the syndicate bank and also found that there
was no significant difference between sector-wise NPA. The study provided
some suggestions to the regulators.

*An overview of the above literature shows that there are quite a few studies
in the field of non-performing assets in the banking industry. the major focus
of the paper is not only on groups of banks but also individual banks. This is
done to identify those banks, which have been contributing more to the NPA
menace in the banking space. Hence, the article is not only relevant but also
addresses a contemporary issue like NPAs. The research adds new knowledge
to the banking literature, which will help readers to comprehend the position
of banks in a better way.

3) Write the objectives of the research given in the article. Try to frame any
two new objectives.

Ans:

The current examination has the accompanying destinations:

(a) To Know the degree of Non-Performing Resources of private and public

area banks

(b) To distinguish the effect of Non-Performing Resources on benefit

(c) To present the suggestions to the controllers and policymakers New

targets:

(a) To distinguish the job of NPA in the financial area

(b) To study the preventive component for NPA

4) What type of data is used? What are the sources used and what are the
methods/tools used?

Ans:

The current examination considers the best 10 banks dependent on most

elevated Non-performing

Resources both public and private area banks. Devices utilize for investigation:

a) Mean: It is a bunch of qualities is the proportion of their total to the all

other numbers of qualities in the set.

(b) Standard Deviation: The Standard Deviation is a proportion of how fanned

out numbers are.

Its image is σ (the Greek letter sigma). The recipe is the square foundation of
the Difference.
c) Pearson Cross-Connection

(d) Linear Relapse Model: Relapse investigations help to see how the run of
the mill worth of the reliant variable changes when any of the free factors is
shifted, while the other autonomous factors are held fixed. Relapse
examination can be utilized to construe a causal connection between the
autonomous and ward factors.

5) What are the findings? Do they align with the objectives? Write the
findings for the objectives which you have framed in Ans-3

Ans:

Discoveries and Ideas for the examination:

(a) The present examination discovered that among the public area banks the
Normal Gross and Net NPA of SBI, PNB, BOI is recorded over the general
normal of the example banks.

(b) The level of Gross and Net NPA of Public and Private area banks expanded
slowly year on year from 2014 to 2018

(c) So it prescribed to the controllers and separate bank authorities do

whatever it may take to decrease the NPA and improve the recuperation
system.

(d) In private area banks, ICICI and Hub bank recorded the most elevated NPA
than the general normal NPA of test banks and least NPA recorded by the LVB
during the investigation time frame.

(e) Also found that there is a huge positive connection between Net NPA and
Net NPA of public and private area banks and outnumbers adversely huge
connection among Gross and Net NPA with ROA of public &private area banks.

(f) The effect of proprietorship (public and private area banks) essentially
impact the Gross and Net NPA. That is the NPA of public area banks was higher
than that of private area banks.
(g) The effect of Gross NPA altogether impacts the ROA adversely and Net NPA
emphatically impacts the ROA of both public and private area banks