Corp Bank targets to open 200 branches every year

MUMBAI, SEPT. 10: 

Corporation Bank plans to grow its total business to Rs 5 lakh crore by 2014-15, against Rs 2 lakh crore now, according to Chairman and Managing Director Mr Ramnath Pradeep.

To reach the business target, the public sector bank plans to open 200 branches every year, with each branch growing its business (deposits plus advances) to at least Rs 10 crore within the first couple of years of beginning operations, he said after inaugurating the bank's Thane Zonal Office.

By June-end, the bank had 1,362 branches. As per the business plan, by end-March 2015, it will have around 2,200 branches.

“We have 475 branches in Karnataka. We are considered a predominantly South-based bank. But now we are fast expanding our presence in North and West, where the GDP growth is high,” said Mr Pradeep.

STREAMLINES OPERATIONS

The Corporation Bank chief said the bank has streamlined its operations by opening 12 new zonal offices, including the Thane ZO. The new ZOs have been created to ensure that not more than 50 branches come under the jurisdiction of each zonal manager so that the official has enough time to attend to customer requirements. Altogether, the Mangalore-headquartered bank now has 31 ZOs.

On outlook for credit growth, Mr Pradeep said though there has been a slowdown in credit growth in the financial year so far, it is expected to pick up from October onwards. The bank has set a lower credit growth target of around 22 per cent, against 25 per cent last year.

Corporation Bank is receiving a steady flow of proposals from infrastructure project developers. However, it is avoiding further exposure to the power sector as it had reached the sector exposure limit, he said.