A technical write off is when an NPA which is 100% provided for, is removed from the balance sheet of a bank (Loan gets knocked off from asset side and equal amount of provision gets knocked off from the liability side. Therefore there is no hit to the P&L and simply the balance sheet contracts by the amount of the loan). While the loan no longer shows up on the balance sheet, the bank still tries to recover the money and is often successful. Any recoveries from a written off loan are recorded in Other Income in subsequent periods.
To the best of my knowledge, an other than technical write off is when a written off loan is not 100% provided for. Therefore the net written off amount is taken as a P&L hit in the reporting period and the entry shows up under the heading “Provisions & write offs” in the P&L.
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