Federal Bank has reported a strong business with total deposits and gross advances rising 21 per cent each during the first quarter of financial year 2023-24. The private sector bank posted total deposits at Rs 2,22,513 crore at the end of the first quarter as against Rs 1,83,355 crore during the same quarter last year. The gross advances for the Q1 stood at Rs 1,86,593 crore in comparison to Rs 1,54,392 crore in the same quarter of the previous year, the company informed in a regulatory filing.
The Bank’s Customer deposits (Total deposits excluding Interbank deposits and certificates of deposit) aggregated to Rs 2,10,439 crore, up 17 per cent over Rs 1,79,586 crore as of June 30, 2022. It further stated that certificates of deposit during the first quarter was at Rs 9,179 crore, up 237 per cent and the interbank deposits was at Rs 2,895 crore, up 177 per cent.
In the filing, Federal Bank said, “As per internal classification, retail credit book grew by 20.2 per cent and wholesale credit book grew by 21.6 per cent. Retail to Wholesale ratio is at 54:46 respectively.” On a sequential basis, Federal Bank’s growth in loans was 5.2 per cent in Q1 FY24 compared to the quarter ended March 2023.
Federal Bank’s CASA ratio, which is the ratio of deposits in the current accounts and saving accounts to total deposits, in the quarter ended June 2023, was at 31.85 per cent as against 36.84 per cent on-year and 32.68 per cent on-quarter. Meanwhile, CASA deposits was up 5 per cent to Rs 70,872 crore from Rs 67,540 crore during the last year.
This comes just days after Federal Bank announced that the RBI has given approval for the appointment of AP Hota as part time chairman of the private sector bank.