NPA MANAGEMENT
IN J & K BANK
ISHTIYAQ MANZOOR
CLASS ROLL NO:- BBA-16-61
DEPARTMENT OF MANAGEMENT STUDIES
AL- FALAH UNIVERSITY
A Non-Performing Assets (NPA) is defined as a credit facility in
respect of which the interest and/or installment of principal has
remained ‘past due’ for a specified period of time.
Once a borrower has failed to make interest or principal payments
for 90 days the loan Is considered to be a non-performing assets.
The most common problem facing by commercial banks all over
the world in recent times is spiraling non-performing assets (NPAs).
Non-recovery of loans also hurt the profitability of bank.
It may be noted at this junction that world class banks do not have
NPAs of over 2% of total portfolio.
RBI has to take the necessary steps for lowering down the Internal
and External factors of NPAs.
To know the polices that the J&K Bank follows to over its NPAs.
To know the relative efficiency of J&K Bank.
To know the NPA level of J&K Bank and other Indian banks.
To know the ill effects of NPAs on the performance of bank.
To get aware of the services provided by J&K Bank and the
level of satisfaction among its customers.
To get aware of the confidence among the customers of the
J&K Bank regarding the performance of the bank in recover
of NPAs.
RESEARCH METHODOLOGY
DATA COLLECTION
Primary Sources Secondary Sources
Personal Interviews Internet
Questionnaire Newspapers
Telephonic Interviews Information brochures of
the bank
Books and Magazines
Time allowed for the study was short. This limitation narrowed the
scope of the study.
Negative response from some of the respondents made it difficult
to interpret the data easily.
Some of the ambiguous replies which I have omitted by taking
them as unnecessary could generate wrong results.
The survey is limited to district Kulgam only. So the respondents
were of this district only. This limitation may have brought biasness in
the study.
The sampling plan in this project is as follows :
Population: The Employees / customers of the bank.
Sampling unit: Any individual residing in district Kulgam of J&K
state.
Sample size: 100
Sampling procedure: Convenience sampling.
Q.1) Are you satisfied with
the way J&K Bank grants
loans ?
No. of respondents 100
Yes 80
No 20
CHART 2
CHART 2
Q.2 ) Comparing with other Indian
banks do you think that the asset
quality of J&K Bank has been
appreciable always ?
No. of respondents 100
YES 75
NO 25
CHART 3
Q.3 ) Which bank is the role modal
of banking in J&K ?
No. of respondents 100
SBI 10
PNB 5
JKB 5
ICICI 80
Q.4 ) Which bank provides best service in
the state ?
No. of respondents 100
SBI 10
Others 5
J&K Bank 85
FINDINGS
The bank has brought a good improvement in NPA recovery
by increasing the NPA Coverage Ratio to 68.79% in 2011-12.
People of the state mostly prefer J&K Bank over other banks.
The asset quality of J&K Bank is appreciated by the people as
well as by the RBI.
The bank has a great business opportunity in the future as its
friendly policies make the bank quite popular in the state as
well as the national market.
Performance of bank in recovery of NPAs has been
appreciated even though it needs further improvement.
Special training programs should be conducted to make the employees
more skilled.
Before setting up any new branch the bank should make efforts to make it
online because online banking will make supervision easy and increase the
bank’s performance.
The bank should make efforts to be at top at national level because this
bank has a great customer strength and people friendly policies.
The bank should adopt reward system for employees so that the confidence
among them may be increased and they will put more efforts.
One important suggestion is that the bank should not ignore advertising at
any point of time because present business is the business of advertising and
advertising has an important role in the growth of business.
BOOKS AUTHORS
Research Methodology Navdeep Aggarwal
Marketing Management Philip Kotler
Bank watch Sajad Bazaz
Marketing Management T.N. Chabra
MAGAZINES & NEWSPAPERS WEBSITES
Business World www.rbi.com
India Today www.cab.org.in
Business Today www.jkbank.net
Greater Kashmir www.scribd.com
Times of India www.livemint.com
Economic Times www.ezineaticles.com
Rising Kashmir www.financialexpress.com
www.indiastudychannel.com
