Management of Non-Performing Assets in Urban Cooperative Banks (A Study with Reference to Tamil Nadu)

With the tightening of prudential norms, the banking sector has been consistently conforming to and adopting international prudential norms and accounting practices. Such strengthening of prudential norms have resulted in increased levels of Non-performing Assets (NPAs) for the Urban Cooperative Banking Sector. As per CAMELS rating model, the highest weightage is given to asset quality components. Today, UCBs are compelled to maintain superior assets quality in the competitive market for their survival. In the wake of large scale defaults of UCBs in India, this study is an attempt to analyze the asset quality in select UCBs in Tamil Nadu