New Delhi, Oct. 9 -- Higher crude oil prices, an uneven monsoon and drought conditions in five states could pose risks to the asset quality outlook of Indian banks, even as credit costs remain benign, according to a report by 360 ONE Capital.

The report said asset quality and credit costs for both private sector banks (PVBs) and public sector banks (PSBs) continue to remain stable.

However, it highlighted the need to monitor management commentary on the potential impact of external pressures, particularly rising crude oil prices and weather-related challenges.

Higher crude oil prices could add pressure to the operating environment for businesses and households, while uneven monsoon conditions and drought in five states could create cha...