72% of EEB NPA customers, who are currently servicing either in part or full, are expected to become regular in the future.
The bank does not see these NPAs as a risk. Usually, if a customer is paying 70%, he is not considered risky.
In March’21, collection efficiency in West Bengal stood at 98.3% (in value terms) and 99% (in volume terms). For Assam, the same was 94% (in value terms) and 83% (in volume terms). There has been a drop of 3- 4% in April’21 CE. For WB, the drop has been less than 3%.
50% of the restructured housing assets are from the self-employed segment.
The bank has indicated that it would like to maintain higher provisioning buffers going forward.
Rs3.3 bn worth of ECLGS loans have been classified as NPAs as the primary accounts of these borrowers have been tagged as NPAs.
Movement of GNPAs is as follows: For 4QFY21: Gross slippages: Rs21.97bn, Recoveries & upgrades: Rs0.23bn, Write-off: Rs19.29bn.
Disbursals are now at ~95% of pre-covid levels and new customer addition is close to pre-covid levels.
ECLGS loans were given due to customers’ requests and govt’s push in 3QFY21. Of the total ECLGS loans, 53% was to WB and 20% to Assam.
The housing segment is expected to pick up going forward. Housing portfolio (excluding construction finance) with ATS>Rs10mn constitutes.
Interest reversal was higher due to the accumulation of slippages over the last 12 months. Going forward, interest reversals would be lower.
The average cost of SA stands at 5.15%. 6% interest offered on SA may decline going forward.
Total ECLGS disbursements stand at ~INR18b in the MFI portfolio and another ~INR1b in Small Enterprise Loans. These disbursements were made in 3QFY21; nil disbursements were reported in 4QFY21. Furthermore, ~53% of ECLGS disbursements were made in West Bengal and 20% in Assam.
Another income breakup: PSLC’s fee income – INR3.24b, third-party distribution fees – ~INR0.8b, and the remainder being predominantly loan processing fees. n The active borrower base increased by 1m in 4Q
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