Karnataka Bank expects 13.5 per cent growth in FY18

Karnataka Bank has set a target for FY17-18 with total turnover of Rs 110000 crore which comprises of Rs 64500 crore of deposits and 45500 crore of loans and advances. Bank expects the demand to pick up with fading demonetisation impact.

The bank also intends to introduce 35 new branches, and take the total number of branches to 800 by end of FY18. It also aims to increase the ATM outlets to 1450 from current 1380. The e-lobbies are expected to increase from 110 to 150 in FY18.

Bank’s CEO also highlighted performance of bank in 2016-17, and said the performance of the bank was satisfactory and he expects economic conditions to improve further, leading to rise in credit demand.

In Q3FY17 bank has witnessed improvement in asset quality, led by traction in its retail segment by 10 per cent yoy. To maintain this growth, the bank has cut its MCLR rates by 25-55 basis points across the various categories, including cut in lending rates on loans to agricultural activities, MSMEs, Export credit and other schemes.