INTERNATIONAL JOURNAL OF ENGINEERING MANAGEMENT AND
SOCIAL SCIENCES
(An International Peer-Reviewed Multi-Disciplinary Journal)
ISSN : 3139-065X
www.ijemss.com
Scholar ID:
Updated Soon
Scholar ID:
Updated Soon
Credit risk management is a crucial function in the banking sector, as it directly impacts the financial stability and profitability of banks. This project focuses on analyzing the credit risk management practices of Canara Bank, one of India’s leading public sector banks. The study examines how the bank identifies, measures, monitors, and controls credit risk associated with its lending activities. The project highlights various tools and techniques used by the bank, such as credit appraisal systems, risk rating models, and loan monitoring mechanisms. It also explores the role of regulatory guidelines issued by the Reserve Bank of India in shaping credit risk policies. Special emphasis is given to non-performing assets (NPAs), their causes, and the strategies adopted by the bank to reduce them. Further, the study analyzes the effectiveness of Canara Bank’s credit risk framework in maintaining asset quality and ensuring sustainable growth. It also discusses challenges faced by the bank in managing credit risk in a dynamic economic environment and provides suggestions for improvement. Overall, this project provides a comprehensive understanding of credit risk management practices in the Indian banking sector with specific reference to Canara Bank.