PNB's total business set to cross Rs 6 lakh cr by this year

The total business of Punjab National Bank (PNB) is set to cross Rs 6 lakh crore in the third quarter ending December 31, 2011.

The bank had reached a total business of Rs 5.90 lakh crore at the end of the second quarter, showing a year-on-year growth of 22.5 per cent. The deposits grew by 25 per cent to Rs 3.41 lakh crore and the advances by 19.3 per cent to Rs 2.49 lakh crore.

The bank's deposits are expected to grow by 21-22 per cent and credit by 19-20 per cent, year-on-year, by the end of the current financial year and this will be around two per cent more than the average industry growth rate, according to Mr K.R. Kamath, Chairman and Managing Director.

Saving fund campaign

He said here on Monday that the bank was awaiting regulatory approvals for acquiring 30 per cent stake in MetLife India Ltd. It had already entered into a corporate agency arrangement with the life insurance major and started selling policies through its branches.

Mr Kamath said that the bank had launched a ‘saving fund campaign' from August 1 to September 30 this year and opened 20.60 lakh saving fund accounts during the period. It had also unveiled a ‘special agriculture credit campaign' from October 15 to November 30 to boost direct agriculture advances.

Biz growth in Kerala

The bank's total business in Kerala grew by around 30 per cent, year-on-year, to cross Rs 7,000 crore as on December 2. The deposits recorded a growth of 36 per cent to Rs 3,600 crore, while the advances grew by more than 24 per cent to Rs 3,400 crore. The credit-deposit ratio of the bank in the State stood at 91.25 per cent.

PNB is opening a new branch in the Kozhikode circle on Tuesday, taking the total number of branches in the circle to 81 and in the State to 141. As part of the saving fund campaign, a total of 40,604 accounts were also opened in the State during the August-September period.

Under the financial inclusion programme, the bank has been allotted eight villages in Kerala, out which all the six villages in Kozhikode circle have achieved the goal.

vinoottan@thehindu.co.in