Amit Shah praises Delhi police, says violence is spontaneous

Munbai/New Delhi, May 4: India expects bad debts at its banks could double after the coronavirus crisis brought the economy to a sudden halt, a senior government official and four top bankers said.

Indian banks are already grappling with 9.35 trillion rupees ($123 billion) of soured loans, which was equivalent to about 9.1% of their total assets at the end of September 2019.

"There is a considered view in the government that bank non-performing assets (NPAs) could double to 18-20% by the end of the fiscal year, as 20-25% of outstanding loans face a risk of default," the official with direct knowledge of the matter said.

A fresh surge in bad debt could hit credit growth and delay India's recovery from the coronavirus pandemic.

"These are unprecedented times and the way it's going we can expect banks to report double the amount of NPAs from what we've seen in earlier quarters," the finance head of a top public sector bank told Reuters.

The official and bankers declined to be named as they were not officially authorized to discuss the matter with media.

India's finance ministry declined to comment, while the Reserve Bank of India and Indian Banks' Association, the main industry body, did not immediately respond to emails seeking comment.

The Indian economy has ground to a standstill amid a 40-day nationwide lockdown to rein in the spread of coronavirus cases.

The lockdown has now been extended by a further two weeks, but the government has begun to ease some restrictions in districts that are relatively unscathed by the virus.

India has so far recorded nearly 40,000 cases of the coronavirus and more than 1,300 deaths from COVID-19, the respiratory disease caused by the coronavirus.

'RIDING THE TIGER'

Bankers fear it is unlikely that the economy will fully open up before June or July, and loans, especially those to small- and medium-sized businesses which constitute nearly 20% of overall credit, may be among the worst affected.

This is because all 10 of India's largest cities fall in high-risk red zones, where restrictions will remain stringent.

A report by Axis Bank said that these red zones, which contribute significantly to India's economy, account for roughly 83% of the overall loans made by its banks as of December.

One of the sources, an executive director of a public sector bank, said that economic growth had been sluggish and risks had been heightened, even ahead of the coronavirus crisis.

"Now we have this Black Swan event which means without any meaningful government stimulus, the economy will be in tatters for several more quarters," he said.

McKinsey & Co last month forecast India's economy could contract by around 20% in the three months through June, if the lockdown was extended to mid-May, and growth in the fiscal year was likely to fall 2% to 3%.

Bankers say the only way to stem the steep rise in bad loans is if the RBI significantly relaxes bad asset recognition rules.

Banks have asked the central bank to allow all loans to be categorized as NPAs only after 180 days, which is double the current 90-day window.

"The lockdown is like riding the tiger, once we get off it we'll be in a difficult position," a senior private sector banker said.

Sitamarhi, Jun 15: Eyewitness accounts from locals in Bihar's Sitamarhi district recount the brutality and intimidation by Nepal's security personnel who on June 12 had resorted to unprovoked firing on a group of people at the international border, which left one Indian dead and two others injured.

"18-20 shots were fired for over one hour and everyone is in shock even now," said Nitish Kumar, a resident of Jankinagar recalling the incident that took place early on Friday morning.

Nepal's Armed Police Force (APF) opened fire at the Lalbandi-Jankinagar border in which three men - Vikesh Yadav, Umesh Ram and Uday Thakur - suffered gunshot injuries. Vikash Yadav succumbed to his injuries on Friday itself.

Another person Lagan Kishore, who was at the border with his family to meet his daughter-in-law, a Nepali national and her family, said he was detained by the APF personnel who dragged him to the other side of the border.

Lagan Kishore said that the Nepali personnel abused and hit him with rifle butts and even abused his son and later resorted to firing.

Several residents of Jankinagar, who spoke to media, termed the incident as "unfortunate and shocking".

Nitish Kumar recalled: "A family was here to meet their in-laws (Nepali nationals). The daughter-in-law was talking to her family while her husband and her father-in-law sat a little distance away. Suddenly I saw Nepali personnel abusing her husband who complained about it to his father. All of a sudden the Nepali forces started thrashing them and then opened fire. They also took the father into custody."

"We were all shocked. I could hear about 18-20 gunshots fired over a period of one hour," Kumar said.

Another local, Ajit Kumar, said he was perplexed with the behaviour of the Nepali Police.

"There used to be no problems earlier. We don't understand what happened to the Nepal Police that day. The firing is unfortunate. If this continues, how will people in the border area live?" he questioned.

Ajit Kumar stated that such an incident has taken place for the first time. "People from here go to work in fields in Nepal and their people come to work in our fields. Such a thing has happened for the first time. About 80 per cent of our people are married to Nepalis," he said.

Many people who live in the adjoining districts of Bihar, which shares over 600 kilometres of border with Nepal, have relatives on either side of the border.

Meanwhile, Nepali police have claimed that Lagan Kishore, who was taken into custody following the firing by APF and handed over to Indian Security Forces at no man's land on June 13, was detained for trying to snatch a weapon from one of their personnel during an altercation.

However, both Kishore and his family have denied the claims and said he was "dragged" across the border and was beaten.

Kishore said that during the firing he had rushed towards the Indian side but Nepalese personnel hit him with rifle butt and took him to Nepal's Sangrampur. He was also asked to confess that he was taken into custody from the Nepali side.

"We ran to return to India when they started firing, but they dragged me from the Indian side, hit me with a rifle butt and took me to Nepal's Sangrampur. They told me to confess that I was brought there from Nepal. I told them you can kill me but I was brought there from India," said Kishore.

Kishore's son also said that Nepali personnel started abusing them and hit him and his father.

Speaking to ANI, Kishore's son said, "We went to meet my brother-in-law. Security personnel started abusing me but I could not understand their language. However, my brother's wife asked them to not abuse. After that, they came to the Indian side and hit me. I told my father about the incident and he confronted them."

"They started beating him and called fellow personnel who started firing and dragged my father from the Indian side, hit him with a rifle butt and took him to Nepal''s Sangrampur," he said.

Relations have become strained between India and Nepal after the latter released a map showing parts of Indian Territory-Lipulekh, Kalapani and Limpiyadhura as its own.

Kozhikode, Apr 24: A four-month-old baby girl, who had tested positive for COVID-19 and suffering from congenital heart disease, died in a hospital here in Kerala early Friday after suffering a cardiac arrest, officials said.

This is the third COVID-19 death and the first infant fatality in the state where two elderly people had succumbed to the disease earlier.

The baby was admitted to the Medical College Hospital here on April 21 with history of fever, cough, breathing difficulties and seizure after being treated at two other hospitals and the end came at 6 am, a medical bulletin said.

State Health Minister K K Shailaja said doctors had made maximum efforts to save the life of the child, whose family belonged to Payyanad near Manjeri in Malappuram district.

"Preliminary information which we have is that there has been some primary contact", she told reporters in Thiruvananthapuram.

The protocol for COVID-19 cases would be followed for the baby's last rites, the Minister added.

As of Thursday, the total active COVID-19 cases in the state stood at 129.

The bulletin said on arrival at the hospital on Tuesday the baby was in shock and had respiratory failure.

"She was resuscitated, mechanically ventilated and appropriate antibiotics for pneumonia and supportive measures to correct shock were started", it said adding the baby, however, continued to remain sick.

"Even though there was no history of any high or low risk contact or any epidemiological links as the child comes from SARI (Sever Acute Respiratory infection) criteria, she was admitted to the COVID-ICU and swab was taken and she tested positive", the bulletin said.

Contact tracing of those who had come in contact with the child was in progress.

Mallapuram District Medical Officer (Health) Dr Sakeena K said the child was having severe health issues from its birth itself and was admitted to a private hospital in Manjeri near here with breathing problem.

As her condition worsened, the baby was shifted to another hospital and later to the medical college hospital.

"The baby was having chest deformity and Atrial Septal Defect by birth which developed into severe health issues, the official added.