New Delhi: The Centre on Friday advised state-run banks to remain prepared and adaptable amid the West Asia crisis and evolving global situation. The guidance was issued during a meeting held by the Department of Financial Services under the finance ministry to review the performance of public sector banks (PSBs) in 2025-26.The ministry also launched the Common Landing Portal for Unclaimed Financial Assets to facilitate easier access to information relating to unclaimed financial assets."The discussions also underscored the need for public sector banks to adopt prudent expenditure and austerity measures at all levels while maintaining resilience amid evolving global uncertainties," the finance ministry said, adding that banks were also asked to provide proactive and need-based support to eligible borrowers under the Emergency Credit Line Guarantee Scheme (ECLGS) 5.0. The scheme is aimed at providing financial relief to businesses-particularly MSMEs, and airlines-to help them manage short-term liquidity mismatches caused by the West Asia crisis.PSBs were further told to strengthen grievance redressal mechanisms with adequate oversight, improve operational efficiency and explore new business opportunities to sustain profitability and long-term growth, according to the statement."Deliberations also covered strengthening of digital banking ecosystems, enhancement of cyber security frameworks and initiatives for improving access to credit for MSMEs and other productive sectors of the economy," the ministry said. PSBs' aggregate net profit increased to the highest-ever level of about ₹1.98 lakh crore, and aggregate business reached around ₹283.3 lakh crore, as of March 31.In the statement, the ministry said that asset quality also remained robust, with gross non-performing assets reaching a historic low of 1.93% and net non-performing assets declining to 0.39%, reflecting continued strengthening of balance sheets and prudent risk management practices. "Progress under major financial inclusion initiatives, including Pradhan Mantri Jan Dhan Yojana, social security schemes, Pradhan Mantri Mudra Yojana, PM Vishwakarma and digital lending initiatives, was also reviewed," the ministry said.