With Dalal Street investors studying the last leg of December-quarter earnings reports from India Inc, analysts have mixed views on the crucial banking space going forward.

Private vs public sector banks 

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Large-cap private banks have a better risk reward than others in the banking, financial services, and insurance (BFSI) segment on the back of the government loosening its purse strings, improving the banking liquidity coupled with the robust underlying credit demand, wrote analysts at brokerage Anand Rathi in a research report.

Conversely, analysts at InCred Equities believe that public sector banks are better placed on the liquidity front compared to private sector banks with their lower loan-to-deposit ratio (LDR) and higher liquidity coverage ratio (LCR). While the loan-to-deposit ratio is the proportion of a bank's total loans against its total deposits, the liquidity coverage ratio determines the share of highly liquid assets to be able to survive a period of short-term liquidity stress.

Here is a look at LCR and LDR of various private bank and public bank: 

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