Amitabh Chaudhry MD & CEO Axis Bank: No Systemic NPA Crisis expected In Next 10-15 Years

At the Business Today India@100 Summit, Amitabh Chaudhry, Managing Director & Chief Executive Officer (MD & CEO) of Axis Bank, acknowledged that while capital is available, non-performing assets (NPAs) remain an inherent part of banking risk, seen globally and not unique to India. He emphasized that NPA cycles are inevitable as institutions take varied risks at different times, sometimes making mistakes that lead to distress. However, systemic crises like the past are unlikely in the next 10 to 15 years due to stronger regulatory oversight, improved information systems, and lessons learned from previous cycles. He cited the COVID-19 impact as a stress test where the banking system absorbed shocks effectively, reflecting increased resilience.