Indian Overseas Bank targets 20 percent business growth in 2012-13

The government-owned Indian Overseas Bank (IOB) hopes to log 20 percent growth in its total business (deposits plus advances) this fiscal while hoping to rein its non performing assets (NPA) at the current level, a top bank official said Saturday.

"This year (2012-13) we are targeting a 20 percent growth in deposits and advances with a focus on profitability. We are targeting a total business of around Rs.385,000 crore to Rs.400,000 crore," chairman and managing director M.Narendra told reporters here while announcing the bank's annual results.

Last fiscal, the bank had logged a total business of Rs.321,707 crore (deposits Rs.178,434 crore and advances Rs.143,273 crore) up from Rs.259,020 crore (deposits Rs.145,229 crore and advances Rs.113,791 crore) posted during 2010-11.

"We will reign in our NPA levels at the current rate," said Narendra when queried about the bank's higher NPA last fiscal and the general economic slowdown.

The bank had logged a gross NPA of Rs.3,920.07 crore and a net NPA of Rs.1,907.44 crore up from Rs.3,089.59 crore and Rs.1,328.42 crore respectively posted during 2010-11.

For the period under review, IOB had earned a total income of Rs.19,578.13 crore and a net profit of Rs.1,050.13 crore as against Rs.13,326.56 crore and Rs.1,072.54 crore posted during 2010-11.

Source: EconomicTimes