I recently heard the news of Yes Bank Failure. When I compared the some of the Financial Ratios of the Yes Bank with that Of SBI then Yes Bank seemed to perform better(also better than many of the banks). Then I am not able to understand why only yes bank failed. For eg the GNPA of sbi is 7.53% but that of Yes Bank is 3.22%, CAR(cash Adequacy Ratio) Of yes bank is 16.50% but that of SBI is 12.5%.

I trying to understand all the underlying reasons of the failure of the Yes Bank and why with similar or worse ratios other banks are not failing in India

  • Adding a comment, since the question is closed. The only reason SBI is still functional is that it is continuously bailed out by the Indian Govt using taxpayer money, mostly in secret. Like many govt organizations, it's very badly run and loses a lot of money all the time. I don't have the link handy, but there a recent RTI request forced the RBI to reveal some of this information. It turns out the SBI loses shocking amounts of money on a regular basis. – Faheem Mitha Apr 19 '20 at 7:45

YES Bank happened to be one of the fastest-growing banks sometime back. But in the recent past, it has witnessed a big fall and I think SBI is still doing an excellent job than YES bank. The difference lies in Management, leadership, asset, and a few more facts as follows:

SBI is India's largest bank in the country with an asset size of over Rs 13 trillion. SBI has a network of almost 14,270 branches and over 22,141 ATMs across the country.

There are many more reasons that can be seen using the following link: https://www.equitymaster.com/stock-research/compare/YES-SBI/Compare-YES-BANK-SBI

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