Business Intelligence for Reducing NPA in Indian Banking Sector

Abstract

Indian Banking sector is a blend of Private as well as public sector banks. In the Economy of a Nation, banks keep a deposit with themselves and interest the depositors. The banks are responsible for the majority of the lending operations that took place in the economy. However, since 2008, the returns on Indian banks’ assets are continuously falling. A healthy banking system is the backbone of a healthy economy. Hence, to help banks make wiser decisions about creating fruitful assets in the future, the paper advises Business Intelligence to help decision-makers make sound decisions and ultimately prevent productive assets in the future.This paper is an attempt to use the Business Intelligence tools to predict if the loan application will turn stressed or not. The outcome of this paper will be on suggesting parameters for the Indian Banks to judge an assetto-be about its fruitfulness so that the NPAs of these banks will be reduced in the future.