Public sector banks post record ₹1.98 lakh cr profit in FY26

Added: 2026-05-13

[00:00:00]Namaste friend, I've seen you got a lot of good welcome all friends.

[00:00:05]Banking update may get the key public sector banks record an all-time high net profit of rupees 1.98 lakh crore in financial year 25-26 marking the fourth straight year of profitability.

[00:00:24]Public sector bank registered lowest ever NPA asset quality improved significantly with the gross NPA ratio declining to 1.93% and the net NPA ratio dropping 2.39% as of 31st March 26.

[00:00:43]The lowest level records historically.

[00:00:47]PSB total business reached 283.3 lakhs crore in financial year 26 registering the robustly YOY growth of 12.8%.

[00:01:00]Gross advances of PSB grew by 15.7% YOY rupees 127 lakh crore as on 31st March 26 with a strong growth across retail, agriculture, and MSME segments.

[00:01:19]Continued reforms and strengthened governance practices have reinforced PSB through healthier balance sheets, enhanced operational resilience, and the strong capital adequacy.

[00:01:35]The aggregate business of PSB increased to 283.3 lakh crore as on 31st March 26 registering growth of 12.8% over the previous year.

[00:01:48]Aggregate deposits rose by 10.6% YOY to rupees 156.3 lakhs crore reflecting continued depositor confidence and a strong resource mobilization by public sector banks.

[00:02:06]Gross advances registered growth of 15.7% YOY and reached rupees 127 lakh crore indicating sustained credit demand across sectors of the economy.

[00:02:22]Credit growth in retail, agriculture, and MSME >> [snorts] >> segments remain broad-based during financial year 25-26.

[00:02:32]Retail, agriculture, and MSME advances grew by 18.1%, 15.5%, and 18.2% respectively reflecting the important role of public sector banks in supporting entrepreneurship, strengthening financial inclusion, and enabling broad-based economic growth.

[00:02:56]But coming to the asset quality key, the asset quality of PSP improved significantly during financial year 25-26 with gross NPA ratio, non-performing asset declining to 1.93% and net NPA ratio 2.39% as on 31st March 26 reflecting historically historically low levels of the stressed assets. Further, each PSB maintained provisioning coverage ratio of above 90% indicating prudent provisions practices, improved underwriting standards, effective risk management mechanisms, and the balance sheet resilience.

[00:03:43]Fresh slippages continued to declining during the financial year 25-26 with slippage ratio reducing to 0.7%.

[00:03:54]Total recoveries including recoveries from written off account is stood at 86,971 crores reflecting improved recovery mechanisms and better credit discipline across public sector banks.

[00:04:10]Congratulations to all public sector bank teams for their continuous growth in fourth year. Thank you. Namaste.