Mumbai, Jun 30 (PTI) The gross non-performing assets (NPAs) of the banking system declined to a multi-decadal low of 2.3 per cent in March 2025, the Reserve Bank of India (RBI) said in a report on Monday.

The level of GNPAs had stood at 2.6 per cent in September 2024.

In the half-yearly The Reserve Financial Stability Report, the RBI said the GNPAs for 46 banks may rise to 2.6 per cent by March 2027.

It can be noted that dud assets have been one of the most challenging parts for the banking system most of the latter part of the previous decade, but the system has been improving on the key ratios over the last few years. PTI AA TRB

Gross non-performing assets outlook: decline reported with a projected modest uptick by March 2027 for bank asset quality. The banking-system gross non-performing assets fell to 2.3 per cent in March 2025 from 2.6 per cent in September 2024; the half-yearly Financial Stability Report projects that GNPAs for 46 banks may rise to 2.6 per cent by March 2027, framing improved recent asset quality alongside a potential medium-term uptick.