PNB received debt restructuring requests worth Rs 12,000 crore: Mallikarjuna Rao

Punjab National Bank (PNB) Managing Director Mallikarjuna Rao said the state-run lender had received lower debt restructuring requests than expected.

PNB has received debt restructuring requests worth Rs 12,000 crore, adding that requests for restructuring had not been as expected. "Out of this Rs 9,000 crore was for corporates, which we have already invoked before December 31," adding that the lender had earlier expected a total amount of Rs 40,000 crore.

The Reserve Bank of India (RBI), in August 2020, allowed one-time restructuring of some loans to provide businesses some relief during the COVID-19 pandemic.

On February 5, PNB reported an 18.5 percent sequential decline in profit at Rs 506 crore for the quarter ended December 31, 2020. Gross non-performing assets (NPA) declined to 12.99 percent in Q3FY21, as against 13.43 percent in the previous quarter. Net NPA fell 72 bps QoQ to 4.03 percent in Q3FY21.