The stressed assets of the power sector’s key financier, Power Finance Corporation (PFC), increased by 300 per cent to Rs 30,718 crore, pushing the company in the red for the first time.
The PFC reported a quarterly loss of Rs 3,409 crore in the fourth quarter of the previous financial year (2016-17). For FY17, its profit fell by 65 per cent in a year to Rs 2,126 crore.
The percentage of gross non-performing assets (NPAs) to total loan assets stood at 12 per cent in FY17. In FY16, it was 3.15 per cent. In its annual report, the company said its profit was muted because of higher provisioning on account of bad loans and a rise in restructured assets. Read more