Factors Determining the Financial Performance of Public Sector Banks in India

Now, an attempt is made in this paper to examine the determinants of profitability Indian public sector banks during period 2010-11 2021-22. For purpose, a sample 12 listed NSE & BSE has been taken. Multiple Linear Regression Analysis used investigate impact independent variables such as bank’s asset size (Size), capital adequacy ratio (CAR), cost income (CTI), net non-performing assets (NPA), credit risk (CrR), deposit (CDR),economic growth (GDP) and consumer price index (CPI) inflation on key bank indicators, i.e., return (ROA), equity (ROE) interest margin (NIM)as dependent variables, separately.
 The main findings show that size, income, assets, ratio, are negatively related ROA, ROE, NIM. Credit economic have positive While hurt ROA NIM except for ROE. Even though overall explanatory macroeconomic factors significant 5 percent effect ROE denoted by F-statistics value. Moreover, banking benefited weakly significantly from both inflationary environment. It also suggested if concentrate these they would be able generate better present globalized era. These value academicians policymakers.