Bank of India sets up second LCB in Delhi
New Delhi, May 12 (UNI) In line with its business process reengineering strategy, Bank of India has set up a separate Strategic Business Unit (SBU) here, to cater to clients with aggregate credit facilities of Rs 50 crore and above.
''We have decided to establish these separate SBUs, divided into large and middle corporate branches, to offer our customers wide ranging financial products, to bring down the financial costs and help in risk/currency management,'' Bank of India CMD M Balachandran told reporters here yesterday.
These Large Corporate Banks (LCBs) have been created to give focussed attention to customers ranging across all sectors including IT, retail, agriculture, manufacturing and SMEs, having businesses over Rs 50 crore, Mr Balachandran said.
''Our criteria to finance these large corporates would depend on their exposure with us, which should be at least Rs 50 crore and will be fund and non-fund based. The amount in the LCB category can go upto Rs 100 crore,'' he added.
The Middle Corporate Branches (MCBs) which the bank will set up later, will cater to businesses ranging between Rs 5 crore and 50 crore.
''We are looking at opening MCBs in Baroda and Coimbatore sometime soon,'' Mr Balachandran said.
Setting up of SBUs is simultaneous to the Corporate Core Banking system. The LCB branch inaugurated today is the 600th branch of the bank, covering 75 per cent of the core business, Mr Balachandran informed.
The Bank set up a LCB in Mumbai on April 21, and will be setting up a second branch there next month.
'' We will be setting up five LCBs in Chennai, Bangalore, Kolkata during the course of this year and then depending on the demand we might even set up branches in Andaman and Hyderabad.
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