Shobha Roy
The Covid-19 pandemic has pushed the Indian banking sector to bring in more granularity in lending parameters and also look at news ways of lending.
According to Amitabh Chaudhry, MD and CEO, Axis Bank, while banks have traditionally looked at lending parameters at a sector level, however, now most banks are looking at sub-sector levels. Bank are also monitoring portfolio in a much more granular manner.
“Banks are looking at lending parameters at all levels even within sub-sectors. So, what banks are doing now is that they are thinking like equity investors because if we do not get into that level of granularity, then it could impact our lending,” said Chaudhry while delivering his keynote speech at the 11th annual finance symposium, GNOSIS’20, organised by XLRI on Friday.
Banks are going into finer details and looking at the long-term survival of a sector they are financing. This apart, they are also doing a much more detailed analysis of promoters of a company….
