Corporation Bank To Focus On MSME, Retail And Agriculture | SupportBiz

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Corporation Bank To Focus On MSME, Retail And Agriculture

 
New Delhi, Feb. 4: State-run Corporation Bank has decided to increase its retail and MSME loan portfolio in the next one year to 25 per cent with more user-friendly strategies.

"Our focus is retail, MSME (micro, small and medium enterprises) and agriculture. Our growth in all the three areas is above 30%. Retail portfolio is around 15% now which we want to increase to 25%,” Corporation Bank Chairman and Managing Director S R Bansal, told Economic Times.

Revealing that the bank’s next strategy would be to increase the retail loan portfolio, he said it would be based on opening of retail and SME centres. "Our products have been made user-friendly. Our vehicle loan rate of interest is 10.65% which may be lower than the industry. The rate of interest on home loan is also about 10.25%," he said.

"We feel that these sector loans are better. NPAs are better. If I want to do bigger business, I can do it from our head office itself. But we are now after profitable growth from the grass roots, so we are increasing our network also", he said. As on December 31, 2013, the bank's SME portfolio stood at Rs 23,069 crore with an year-on-year growth of 31%. He said the bank plans to open 300 new branches during the current financial year out of which 150 have already been opened.