InvestorQ : What could be the implications of the RBI removing Central Bank of India from the PCA framework?
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What could be the implications of the RBI removing Central Bank of India from the PCA framework?

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Juvina Maggie answered.
2 weeks ago
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RBI has finally removed Central Bank of India from the Prompt Corrective Action (PCA) framework. With improved compliance on net NPAs and capital ratios, CBI was eligible for removal from PCA. However, Central Bank would still be subjected to ongoing restrictions and monitoring. RBI had placed Central Bank under PCA in 2017 due to steep net NPAs and negative return on assets (ROA). Central Bank net NPAs shrank from 10.2% in 2017 to 3.93% in 2022 which shows that substantial provisioning has already been done.

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