Mumbai based regional rural bank (RRB), Karnataka Vikas Grameena (KVB) Bank has set up a target of Rs. 13,000 crore of business for the FY 12-13. The bank's business for the last fiscal stood at Rs.10, 803 crore.
The bank plans to achieve its targets by penetrating its reach by opening ultra small branches in towns and cities where the bank doesn't have a branch. "This fiscal we are also planning to disburse Rs 3,600 crore in our operational area of nine districts in north Karnataka," said Mr. C. Sambasiva Reddy, Chairman, KVG Bank.
Gross non performing assets (NPA) were reduced to Rs. 89.17 crore against Rs. 92.85 crore at the end of previous year. In terms of ratio of total advances, the bank reduced its NPA from 2.54% to 1.97%.
Priority sector lending saw an increase of 25% and amounted to Rs. 752 crore of disbursals. The bank's credit flow to agricultural sector was Rs. 2,916 crore, while the credit to micro small and medium enterprise (MSME) grew by 20.64%.
The RRB added 30,492 Kissan Credit Cards (KCCs) and disbursed Rs. 256.48 crore. The bank's expansion plan includes adding 550 branches, 50 ultra small branches and 75 ATMs in this fiscal.