An Empirical Study of Non-Performing Assets and Its Impact on Financial Performance of Financial Institution in India

The banks provide loans to the customers, these loans are financed by customer deposits, and commercial banks face the risk of default by the borrower in the payment of principal or interest. When the borrower cannot repay the payment of interest and / or the repayment of principal is treated as a Non-performing asset. The Non-performing assets have negative impact on the financial performance of the banks. The main objective of this paper is to study the overall financial performance of selected banks and the impact of non-performing assets. The information gathered for the study incorporates secondary data. The different sources used to gather secondary data incorporate Research articles, papers, journals and different sites. The secondary data gathered is analyzed utilizing different statistical tools and techniques