PNB's domestic business crosses ~10 trn in FY18

Punjab National Bank’s domestic business turnover crossed ~10 trillion for the first time in 2017-18. The bank’s managing director and chief executive officer, Sunil Mehta, on Monday wrote a letter to employees, reassuring the bank continued to do a strong business in 2017-18, even when it was hit by a ~129 billion scam. SOMESH JHA reports

Punjab National Bank’s (PNB’s) domestic business turnover crossed ~10 trillion for the first time ever in 2017-18, registering a 7.9 per cent increase over the previous year.

The Delhi-based bank’s Managing Director and Chief Executive Officer Sunil Mehta on Monday in a letter to employees said that the bank continued to do strong business in 2017-18, even when it was hit by a ~130billion scam.

“It gives me immense pleasure in sharing with you that while the global business of the bank hovers around ~11 trillion, the domestic business of the bank has reached new milestone by crossing ~10 trillion registering 7.9 per cent growth for 201718,” Mehta said.

The bank’s domestic business stood at ~9.35 trillion in 2016-17, growing at a faster pace of 9.6 per cent on an annual basis compared to 2017-18.

He said that the domestic deposits of the bank grew 6.2 per cent to ~6 trillion in 2017-18. The domestic deposit, however, grew 14.5 per cent in 2016-17. The domestic advances grew 10 per cent to surpass ~4.3 trillion compared to 3.1 per cent growth witnessed in the previous financial year, the PNB chief added.

“This reaffirms customers’ confidence in the bank even during the turbulent times in recent past,” he said. In terms of the total business turnover, PNB is behind State Bank of India (~45.8 trillion) and HDFC Bank (~13.3 trillion) as on December 2017, according to their results reviewed by the Business Standard Research Bureau. The bank’s CASA ratio — rate of current account and saving accounts in total deposits — declined to 43.9 per cent from 46 per cent in 2016-17.