What are the implications of NPAs on Mudra loans decreasing in 2023-24 as per the Finance Minister

1. Improved financial health: With the decrease in NPAs on Mudra loans, banks will experience a reduction in non-performing assets, leading to better financial health of the banking sector. 2. Boost in lending: The decline in NPAs can instill confidence in banks to increase lending under the Mudra scheme, thereby supporting small businesses and entrepreneurs with access to credit. 3. Economic growth: Lower NPAs on Mudra loans indicate a healthier lending environment, which can contribute to overall economic growth by promoting business expansion and job creation. 4. Risk management: A decrease in NPAs signals effective risk management practices by banks, which could have a positive impact on their operations and sustainability. Overall, the reduction in NPAs on Mudra loans in 2023-24 as announced by the Finance Minister is expected to have positive implications for the economy, banking sector, and small businesses.