Reforms of commercial banks with reference to non performing assets

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Banking is a sheer economic instrument to drive away poverty and to shed measures for socio-economic development. Once banking was confined to the class, has now, brought in its ambit the mass through nationalisation initiated by the Government of India. The branch network covered hitherto uncovered areas, tapped deposits from surplus income people including myriad ones, otherwise become a source for spurious consumption and deployed credit for production-oriented economic activities are the main measures. The achieved performance quantitatively, not in tune to the expected quality, led to New Economic Policy with reforms in the banking sector.