Indian Bank eyes recovery of Rs 7,000 crore this financial year : MD & CEO

By The Capital

On 30 Jul 2024 14:11:14

Indian Bank The public sector Indian Bank aims to recover around Rs 7,000 crore in the current financial year. The bank has received approval to raise Rs 5,000…

Indian Bank

The public sector Indian Bank aims to recover around Rs 7,000 crore in the current financial year. The bank has received approval to raise Rs 5,000 crore and plans to do so at a suitable time. Indian Bank reported a 41% increase in net profit to Rs 2,403 crore for the April-June 2024 quarter due to a decrease in bad loans. The bank recovered Rs 1,937 crore in the April-June 2024 quarter.

It aims to recover more than the amount of bad loans during the current financial year. The bank’s capital adequacy stands at 16.47%, and with the additional net profit, the ratio is now at 17.08%. The bank has approval to raise Rs 5,000 crore through equity, Rs 2,000 crore through Tier II Bonds, and Rs 5,000 crore of infra bonds during this financial year.

Last year, the bank recovered about Rs 464 crore through Asset Reconstruction Company (ARC), and it aims to recover a similar amount this year. Additionally, the bank plans to open 100 new branches this year, having opened 77 branches last year.

Indian Bank is focused on providing technology-driven solutions to simplify banking for its customers. It has launched a new omni-channel banking application called INDSMART, which offers a wide range of services, including banking and e-shopping facilities.

The application also allows customers to avail loan facilities, open fixed deposits, and savings accounts. In the April-June 2024 quarter, Indian Bank conducted business worth Rs 36,678 crore through digital channels. Mobile banking, UPI, and net banking users have shown significant growth over the past year.