Oriental Bank says under central bank corrective action over bad loans
Oriental Bank says under central bank corrective action over bad loans
Oriental Bank of Commerce Ltd, a mid-sized Indian state-run lender, said the nation`s central bank has initiated "prompt corrective action" against the bank over its high amount of net non-performing assets (NPA).
Oriental Bank is the seventh state-run lender to be put under a corrective action plan, which requires a bank to enact curbs on hiring, branch expansion and taking on new loans.
"This action will not have any material impact on the performance of the bank and will contribute in overall improvement in its risk management, asset quality, profitability and efficiency," the lender said in a stock exchange filing late on Saturday.
The bank posted a net loss for the June quarter, with net NPA rising to 9.56 percent.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.