Beyond Headlines

Managing NPA crisis


The merger of Bank Of Baroda with Vijaya Bank and Dena Bank has been in the news for different reasons. Firstly, It is for the first time, that we will be witnessing a merger of three PSBs. Secondly, Vijaya Bank, one of the very few banks which posted a positive net profit is getting merged with a loss-making Dena bank. Why? Why do loss-making banks get decapitalized, merged with a good and profit-making bank? Why are these profit-making banks has to carry the carcasses of loss-making ones? Mr. Sujit Nair, Managing Editor of HW News Network and Mr. Akhilesh Bhargava, Business Editor of HW Business and Finance share their insights on the matter.

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