With reference to Non-Performing Assets (NPAs), consider the following statements:
1. It is a loan or advance for which the principal amount has been paid but interest payment remained overdue for a period of 90 days.
2. In the case of agricultural loans, NPAs are declared if the interest and/or installment or principal remain unpaid for two harvest seasons.
3. According to RBI in the last 5 years, Rs 10 lakh crore in write-offs has enabled banks to reduce their non-performing assets (NPAs).
Which of the statements given above is/are correct?1
1 only
2
2 only
3
Both 1 and 2
4
Both 2 and 3
5
Neither 1 nor 2