Press Trust of India
Kolkata, August 23: Bandhan Bank Monday began operations as a full-fledged bank with 501 branches and 1.43 crore accounts across the country, becoming the newest member of the estimated two-trillion dollar Indian banking industry. Bandhan said it is starting operations with 1.43 crore accounts, around Rs 10,500 crore loan book and 19,500 employees. To begin with, it has got 501 branches, 2,022 service centres and 50 ATMs across 24 states.
It plans to have 632 branches and 250 ATMs in 27 states by the end of fiscal year 2016, the bank said after Finance Minister Arun Jaitley inaugurated its operations here at the Science City Auditorium in Kolkata, at a function attended by regulators, policy makers and luminaries from financial sector and corporate India. The bank said over 71 per cent of the branches will be in rural India, including at least 35 per cent in unbanked rural pockets.
State-wise, West Bengal has the maximum number of branches 220, followed by Bihar 67, Assam 60, Maharashtra 21, Uttar Pradesh and Tripura 20 each, and Jharkhand 15. The Kolkata-headquartered bank has two divisions – micro banking and general banking – and will offer complete retail financial solutions, including a variety of savings and loan products. Chandra Shekhar Ghosh, Founder, Managing Director and CEO of Bandhan Bank said, “Our business philosophy is ‘customer first’. We are a universal bank and we will have equal respect all our customers – big and small. Today, all of us in the Bandhan family are rededicating ourselves to fulfill the demand of every Indian – banking as a fundamental right. We are committed to usher in a new era in Indian banking.”
Jaitley said, “West Bengal is known for producing several intellectuals, but no entrepreneurs. The launch of Bandhan Bank will not just boost the growth of Bangla entrepreneurs, but signify the return of entrepreneurs to West Bengal.” The size of banking assets in India reached $1.8 trillion in the fiscal 2013-14 and is expected to touch $28.5 trillion by 2024-25. However, the Indian banking sector is highly fragmented with 46 commercial banks jostling for business with dozens of foreign banks as well as rural and co-operative lenders. State banks control a significant chunk of the market share.
