Bank of Maharashtra Targets 17% Credit Growth in 2025–26

Bank of Maharashtra is aiming for 17% credit growth in 2025–26, following an 18–19% expansion in advances last year, managing director and chief operating officer Nidhu Saxena said on Tuesday. Speaking at the bank’s post-earnings press conference, Saxena expressed confidence in meeting—and potentially exceeding—the guidance. “The differentiator with us is that we are a bank which is expanding very fast,” he said.

As part of its growth strategy, the state-owned lender plans to open 321 new branches over the next 18 months. The board has also approved the opening of 1,000 branches over the next five years. The bank currently operates 2,641 branches, primarily in semi-urban areas, and now aims to deepen its reach in Madhya Pradesh, Rajasthan, Uttar Pradesh and Bihar, while further strengthening its presence in Maharashtra.

For the April–June quarter, the bank reported a 23% year-on-year increase in net profit to ₹15.93 billion, supported by a 20% rise in interest income to ₹70.54 billion.

The current account and savings account ratio stood at 50.07% as of 30 June, up from 49.28% a year ago, though slightly lower than 53.28% in the March quarter. Saxena said the bank aims to maintain CASA above 50%, and is consciously shifting from high-cost bulk deposits to lower-cost sources.

He also clarified that the bank has no material concerns regarding its unsecured microfinance portfolio. On capital raising, Saxena said the board has approved a plan to raise ₹100 billion through infrastructure bonds during the year.