Busi­ness Growth Strat­egy

Banking Frontiers - - Regional Rural Banks -

Gramin Bank of Aryavart has con­ceived plans for de­posit and CASA mo­bi­liza­tion, specif­i­cally by tar­get­ing the ru­ral and semi-ur­ban pop­u­la­tion. It is also in­tend­ing to link farm­ers’ ac­counts with farm pro­duce pro­cure­ment and fo­cus on re­tail cus­tomers for cur­rent ac­counts. One fo­cus area is to pro­vide tech­nol­o­gyen­abled ser­vices to its cus­tomers. An­other fo­cus area is fi­nan­cial in­clu­sion and this will be achieved through busi­ness cor­re­spon­dents/busi­ness fa­cil­i­ta­tors...

Says S.B. Singh, chair­man of the bank: “We will be fo­cus­ing on our 20% of core cus­tomers, so as not to lose our de­posit base. We will in­tro­duce spe­cial sav­ings de­posit ac­counts bun­dled with free ATM card, with added ben­e­fits like in­sur­ance based on cus­tomer seg­men­ta­tion, which will be pro­vided as wel­come kit.”

For bor­row­ings, the bank will be en­hanc­ing re­source base and op­ti­miz­ing bor­row­ing / re­fi­nance fa­cil­i­ties for cost re­duc­tion. Yield on in­vest­ment should be op­ti­mized. The bank will be more ac­tive to­wards trad­ing to gen­er­ate in­come other than in­ter­est.

“For aug­ment­ing credit, we will be cre­at­ing life cy­cle prod­ucts for tar­get seg­ments, di­ver­si­fy­ing as­set port­fo­lio and in­creas­ing in­vest­ment credit. There will be in­creased cover­age through Self Help Groups (SHGs), Joint Li­a­bil­ity Groups (JLGs) and more agri­cul­tural term loans,” says Singh.

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