Bandhan Bank Posts Double-Digit Growth In Credit, Deposits In March Quarter

Bandhan Bank Ltd. recorded solid growth in loans and deposits for the March quarter, even as its share of low-cost deposits saw a slight decline.

Loans and advances rose 10.6% year-on-year to ₹1.38 trillion as of March 31, according to provisional figures shared by the bank late Thursday. Total deposits increased 11.8% on year to ₹1.51 trillion.

The current and savings account ratio stood at 31.4%, slightly down from 31.7% as of December 31. Current and savings account deposits declined 5.4% on year to ₹474.36 billion.

Retail deposits, including current and savings account balances, were up 11% on year at ₹1.04 trillion. Bulk deposits rose 13.7% year-on-year to ₹470.56 billion and were 6.5% higher sequentially. Retail term deposits stood at ₹567.17 billion, a jump of 29.9% on year and 8.9% from the previous quarter.

The retail-to-total deposit ratio came in at 68.9%, compared with 68.7% a quarter earlier and 69.4% a year ago. The share of bulk in total term deposits eased to 45.3% from 45.9% in the previous quarter and 48.7% a year earlier.

Liquidity coverage ratio remained strong at 177.54% as of March 31.

The bank’s pan-bank collection efficiency, excluding non-performing assets, stood at 97.9% for the March quarter, up from 97.7% in the previous quarter. In the emerging entrepreneurs segment, it improved to 97.7% from 97.4%, while the non-emerging entrepreneurs segment posted a slight uptick to 98.4% from 98.3%.