Friday, February 16, 2018

Banks and the risk of NPAs

Punjab National Bank is in the news over last few days for wrong reasons. There has been a major fraud, which may lead the bank to lose a whopping amount of more than Rs. 10,000 crores. A slew of jokes and messages have started doing rounds.

One of the messages was: "Bank deposits are subject the the NPA risks."

It highlights that there is risk of NPAs in banks. Was it already there or has the risk surfaced only after the recent event came to light?

This is not about whether the risk is present, but the way we look at risk. We do not see it till something happens. We wrote about this in our article some days back. Click on the link below to read it:

Here’s How Investment Risk and Cricket are Similar…

1 comment:

  1. Searching for banking courses after graduation? Find variety of unique job oriented courses LearnwithFlip for perfect specialization in banking.