India's Banks Erased ₹10 Lakh Crore in Bad Corporate Loans Over 12 Years
What Happened
The government informed Parliament that Indian banks have written off ₹9.95 lakh crore in loans extended to large corporates and the services sector over the last 12 financial years. Annual write-offs peaked at ₹1.49 lakh crore in 2018-19 before falling to ₹20,485 crore in 2025-26.
Key Takeaways
The figures highlight the scale of India's banking-sector cleanup after years of bad loans, while the government stresses that write-offs do not mean corporate defaulters are let off the hook.