New Delhi, June 24 -- India's 12 public sector banks (PSBs) continue to struggle to recover sour loans despite a unified digital auction platform to seamlessly monetise stressed assets, amid legal uncertainties and a gap between lender expectations and buyer bids.

Over the past 22 months, these banks received bids in fewer than a tenth of the 272,000 auctions of stressed assets, and managed to successfully resolve just 14.74% of the cases that attracted bids, according to two people aware of the development and official data reviewed by Mint.

PSBs conducted 2,72,208 stressed-asset auctions through the Bank Asset Auction Network (Baanknet) platform between 1 July 2024 and April 30, 2026. However, only 26,493 auctions drew bids, implying ...