The Gross NPA ratio for the banking system, which was 2.4% in March 2011, increased to 3.6 per cent by September 2012. Going forward, the banking system will continue to face a challenging environment given that its fortunes are closely linked with those of the economy – domestic and global. 4.
Having seen the challenges before the Indian banking system, what are our motivations for discussing, today, the issue of taking the Indian Banking Sector towards the next orbit? Our elementary knowledge of astrophysics would tell us that for being propelled to the next orbit, a rocket needs to pull against the earth’s gravitational force.