Punjab & Sind Bank plans to open 40 new branches this fiscal: MD & CEO Saha
Managing Director and CEO Swarup Kumar Saha said Punjab & Sind Bank (PSB), a public sector bank, is planning to set up 40 new branches in this fiscal.
Saha indicated that the proposed expansion of the branch network will be across India and will help the bank to boost current account savings account (CASA) resources.
Currently, PSB has 1,553 branches across the country.
CASA LOW BASE
Saha said PSB would like to record a 1 percent increase in CASA from 33.59 percent so far.
“For a bank of our size, the primary challenge we face is the decrease in the CASA base. We need to increase that through a strategic thinking process,” he said.
net interest margin
Asked about the net interest margin (NIM), he said the bank would look to register at least 2.95 percent NIM. In 2022-23, the NIM was 2.91 percent, which is 11 basis points higher than last year. “We lost a little bit of NIM in the fourth quarter. Maintaining the strategies we’ve formulated, we hope to post NIM at 2.95 percent this fiscal year,” he said.
To reach the level of NIMs for private sector banks, Saha added, PSB has to work on multiple fronts including technology, operating cost reduction, etc.
PSB aims for credit growth of 13 percent this fiscal year. It is also looking to increase the share of the retail, agricultural and micro, small and medium (RAM) sector to 55 percent in its total loan book.