CMAs CAN GUIDE BANKS IN PRE-SANCTION, POST-SANCTION AND MONITORING OF STRESSED ASSET LEVELS

In an interview, K R Kamath, CMD, Punjab National Bank, talked about bank financial management. He said that banks have been increasingly facing the pressure of non-performing assets (NPA) owing to the protracted economic slowdown in India. The SME sector is a vast category covering both manufacturing and service enterprises and as such the risk in SME is not uniform. The risk perception with regard to a manufacturing enterprise will not be the same as the risk associated with a service enterprise, operating in a relatively more stable market. Professionals like cost and management accountants can play an important role in the current scenario to help the banking sector effectively manage NPAs.