Abstract : The banking sector plays a vital role in economic development by providing credit to individuals and businesses. Loan disbursement and recovery performance are key indicators of the efficiency and financial stability of banks. This research paper presents a comparative study of public and private sector banks in India using four major banks: State Bank of India and Union Bank of India as public sector banks, and ICICI Bank and HDFC Bank as private sector banks. The study analyzes loan disbursement growth, asset quality, recovery performance, and profitability using financial indicators such as Non-Performing Assets (NPA), Credit-Deposit Ratio, Return on Assets (ROA), and Net Interest Margin (NIM). The results indicate that private sector banks generally perform better in loan recovery and asset quality, while public sector banks maintain higher loan volumes due to their wider reach and government initiatives. The study highlights the strengths and weaknesses of both sectors and suggests measures to improve loan recovery efficiency and credit risk management.
Cite : Gopalan, M. S. (2026). A Comparative Study Of Public And Private Banks In Loan Disbursement And Recovery Performance (1st ed., pp. 180-187). Noble Science Press. https://noblesciencepress.org/chapter/nspebeparddias2026ch-20
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