@vicky_7900: Let me try to calculate. But I am not sure whether my answer will be correct.
Lets assume 100 Rs. of capital. And assuming zero borrowings, balance sheet size will be 100. So Total assets will be 100. The P&L goes like
Interest Earned = 7
Interest expended = 0
Net Interest Income (NII) = 7
NIM = NII / Total Assets
NIM = 7 / 100
NIM = 7%
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