Bandhan Bank plans to increase the secured proportion of its total loan book to nearly 70% by 2025 from 39% at present, as the lender is focusing on growing MSME and home loans.
“Currently, 26% of our loan portfolio comprises housing loans. We are seeing a huge demand for housing loans. In the first quarter this fiscal, we saw 20% year-on-year growth in the housing loans segment. We have a good opportunity to grow this segment going forward. This is totally secured lending,” Bandhan Bank MD and CEO Chandra Shekhar Ghosh told reporters.
At present, around 61% of the bank’s total loan portfolio comes from unsecured loans, primarily microcredit.
Bandhan Bank on Thursday announced that it has roped in former captain of the Indian cricket team, Sourav Ganguly, as its brand ambassador. The bank said Ganguly will help “amplify the brand message” of it and endorse its products and services.
Also read: Bandhan Bank’s collection efficiency increases to 97%
Ghosh said the bank was planning to grow its MSME loans portfolio in such categories where risk involved remained low.
Bandhan Bank is planning to grow its outlets to around 8,000 by 2025. Currently, around 47% of the bank’s total branches are in the east and the north-east regions.