South Indian Bank to focus on expansion

Hyderabad, May 30 (UNI) South Indian Bank (SIB), a leading scheduled bank, plans to embark on an aggressive branch expansion over the next five years, with the setting up of 250 new branches across the country.

SIB had prepared a strategic business plan to touch the Rs 75,000 crore mark in business levels -- comprising Rs 44,000 crore under deposits and Rs 31,000 crore under advances -- by 2012-13 fiscal, SIB Executive Director M Valsan said at the inaugural of the bank's 14th Regional Office here.

The office was inaugurated by Andhra Pradesh Finance Minister K Rosaiah in the presence of IDRBT Director N Krishna Mohan and Mr Valsan.

SIB is the first Kerala-based private sector bank to migrate to the Core Banking Solutions as early as 2002 and completed the same by 2006. SIB had a pan-India presence of 502 branches, 26 extension Counters, and 227 ATMs spread across 23 States and Union Territories.

The total business of the bank stood at Rs 25,910 crore as on March 31, 2008, registering a growth of 26.10 per cent. While the deposits went up by Rs 2,917 crore from Rs 12,239 crore in 2006-07 to 15,156 crore in 2007-08, registering a growth of 23.83 per cent, the advances increased from Rs 8,308 crore in 2006-07 to Rs 10,754 crore in 2007-08, registering a growth of 29.45 per cent.

The Capital Adequacy Ratio of the bank was as high as 13.80 per cent, having substantially reduced its NPA.

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