India's scheduled commercial banks had a gross NPA ratio of 1.8% at the end of March 2026, says the RBI's Financial Stability Report. RBI calls it a multi-decadal low and says the improvement was broad-based across bank groups. A year earlier, in March 2025, the ratio was 2.3%.
Source · RBI, figure for March 2026 · checked
| Period | Value (%) |
|---|---|
| Mar 2026 | 1.8 |
| Sep 2025 | 2.2 |
| Mar 2025 | 2.3 |
| Sep 2024 | 2.6 |
| Mar 2024 | 2.8 |
The gross NPA (GNPA) ratio is bad loans as a share of all loans. RBI reports it for scheduled commercial banks (SCBs) in its Financial Stability Report, twice a year. It does not cover NBFCs or urban co-operative banks, which the report treats separately.
| Measure | Figure | Source |
|---|---|---|
| Gross NPA ratio, March 2026 | 1.8% | RBI, FSR June 2026 |
| Gross NPA ratio, September 2025 | 2.2% | RBI, FSR December 2025 |
| Gross NPA ratio, March 2025 | 2.3% | RBI, FSR June 2025 |
| Gross NPA ratio, September 2024 | 2.6% | RBI, FSR December 2024 |
| Gross NPA ratio, March 2024 | 2.8% | RBI, press release June 2024 |
2.6 Asset quality of SCBs improved further in March 2026, with GNPA ratio declining to a multi-decadal low level of 1.8 per cent. The improvement in asset quality was broad-based across bank groups ( Chart 2.2 a and b ).
2.7 PSBs and FBs led the continued improvement in asset quality. At the aggregate level, the GNPA ratio of SCBs declined to a fresh multi-decadal low of 2.2 per cent, and their NNPA ratio remained at a record low of 0.5 per cent ( Chart 2.2 a )
2.5 SCBs continued to record improvement in their asset quality, with the GNPA ratio and NNPA ratio 5 declining to multi-decadal lows of 2.3 per cent and 0.5 per cent, respectively
2.5 Asset quality of SCBs improved further, with their GNPA ratio declining to a 12-year low of 2.6 per cent in September 2024 ( Chart 2.2 a ).
SCBs’ gross non-performing assets (GNPA) ratio fell to a multi-year low of 2.8 per cent and the net non-performing assets (NNPA) ratio to 0.6 per cent at end-March 2024.
Worked out by us: 0.5 (2.3% (March 2025, RBI) minus 1.8% (March 2026, RBI), in percentage points).
1.8% of loans at the end of March 2026, a multi-decadal low, according to RBI's Financial Stability Report of June 2026.
It fell from 2.8% in March 2024 to 2.6% in September 2024, 2.3% in March 2025, 2.2% in September 2025 and 1.8% in March 2026.
In the December 2026 Financial Stability Report, which will give the ratio for September 2026. RBI publishes the report twice a year, in June and December.
This figure is from RBI's own release or a report quoting it. We recheck it half-yearly. If you have a newer or better source, send it to us.
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