State-run banks to retain loan market share at 51% medium term
Updated : July 26, 2018 07:11 AM IST
The state-run banks which are not under the prompt corrective action (PCA) framework are expected to maintain their loan market share at 50-51 percent in the near future, while the overall credit growth is likely to be 8-9.5 percent in the next two years, an Icra report said.
The Reserve Bank has since end-FY17 been tagging badly performing state-run banks under the PCA framework and so far as many as 11 of them are under this.
Being under the PCA means such banks cannot engage in fresh corporate lending and can mostly from deposits and recoveries only.