{"id":42614,"date":"2018-09-21T11:29:42","date_gmt":"2018-09-21T11:29:42","guid":{"rendered":"http:\/\/blastingskyhawk.com\/?p=42614"},"modified":"2018-09-21T11:29:42","modified_gmt":"2018-09-21T11:29:42","slug":"merger-of-three-banks-may-see-spurt-in-bad-assets-warns-report-2","status":"publish","type":"post","link":"https:\/\/blastingskyhawk.com\/english\/merger-of-three-banks-may-see-spurt-in-bad-assets-warns-report-2\/","title":{"rendered":"Merger of three banks may see spurt in bad assets, warns report"},"content":{"rendered":"<p>Mumbai<br \/>\nThe merger of Bank of Baroda, Vijaya Bank and Dena Bank by the government poses short-term challenges like spurt in bad assets, but will be beneficial over a longer term, a report said on Thursday.<\/p>\n<p>Slippages may increase in the short-term as recognition of non-performing assets is harmonised and accelerated, India Ratings said in a note.<br \/>\nStating that it may take appropriate rating actions after the merger proposed earlier this week gets a formal approval, it said the combined entity will require \u201csignificant bandwidth\u201d in the management for business growth and NPA resolutions.<\/p>\n<p>Dena Bank\u2019s lower capital buffers are offset by Vijaya Bank\u2019s higher capital buffers, it said, adding that the merged bank may need additional tier 1 capital depending on internal accruals for FY19.<\/p>\n<p>However, from a longer term perspective, the merger will be positive with benefits like reducing combined operating costs, lower funding cost and strengthened risk management practices, it said.<\/p>\n<!-- AddThis Advanced Settings generic via filter on the_content --><!-- AddThis Share Buttons generic via filter on the_content -->","protected":false},"excerpt":{"rendered":"<p>Mumbai The merger of Bank of Baroda, Vijaya Bank and Dena Bank by the government poses short-term challenges like spurt in bad assets, but will be beneficial over a longer term, a report said on Thursday. Slippages may increase in the short-term as recognition of non-performing assets is harmonised and accelerated, India Ratings said in [&hellip;]<!-- AddThis Advanced Settings generic via filter on get_the_excerpt --><!-- AddThis Share Buttons generic via filter on get_the_excerpt --><\/p>\n","protected":false},"author":1,"featured_media":42615,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[410],"tags":[],"class_list":["post-42614","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"_links":{"self":[{"href":"https:\/\/blastingskyhawk.com\/english\/wp-json\/wp\/v2\/posts\/42614","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blastingskyhawk.com\/english\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blastingskyhawk.com\/english\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blastingskyhawk.com\/english\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/blastingskyhawk.com\/english\/wp-json\/wp\/v2\/comments?post=42614"}],"version-history":[{"count":1,"href":"https:\/\/blastingskyhawk.com\/english\/wp-json\/wp\/v2\/posts\/42614\/revisions"}],"predecessor-version":[{"id":42616,"href":"https:\/\/blastingskyhawk.com\/english\/wp-json\/wp\/v2\/posts\/42614\/revisions\/42616"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blastingskyhawk.com\/english\/wp-json\/wp\/v2\/media\/42615"}],"wp:attachment":[{"href":"https:\/\/blastingskyhawk.com\/english\/wp-json\/wp\/v2\/media?parent=42614"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blastingskyhawk.com\/english\/wp-json\/wp\/v2\/categories?post=42614"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blastingskyhawk.com\/english\/wp-json\/wp\/v2\/tags?post=42614"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}