On Tuesday a top official of Yes Bank said that the lender is aiming to disburse retail and small business loans worth Rs. 10,000 crore in the current quarter. The bank is planning to expand the portfolio to over 60% of its loan book by 2023.
By 2023, the bank aims to double the retail and MSME assets as well as its liability book. Rajan Pental, global head (retail banking), Yes Bank said that following the route map to become a truly digital retail bank, the bank continuously looks for innovative solutions to meet the evolving requirements of their retail customers and MSME clients.
He also added that guided by the objective to grow its retail and MSME business, the bank disbursed loans worth Rs. 6,800 crores to retail and MSME sectors in the second quarter ending September 30. They are targeting a fresh amount of loan Rs. 10, 000 crores in the present quarter. Pental also said that loan disbursal of ₹10,000 crores is a remarkable growth in the entire business as the troubled bank has never accounted for such a large amount of disbursement even in its best times in the past. He said that banks have a steady growth in the deposit front during the first two quarters of the present financial year with real contribution from both retail as well as corporate.
During the COVID-19 outbreak, they were open only at a few locations and in the first quarter, the bank opened close to 32,000 accounts. But in the second quarter itself, the bank was able to open more than 1.50 lakh accounts that brought them to the normal levels of their account opening ability in the best of times the bank had ever seen.
Pental said that Yes Bank aims to open fresh accounts up to 1 lakh every month by leveraging technology, and he added that they expect this trend to follow in the coming quarters as well. He said that this growth is a clear reflection of the trust and confidence that the customers has placed with the bank throughout these years. The main aim is to increase their retail and MSME books to 60 percent of the total amount of loan books from the present 45 percent by 2023.