Date:25/11/2008 URL: http://www.thehindu.com/2008/11/25/stories/2008112559921700.htm

Business

IndusInd Bank to have more branches, ATMs

K. Venkiteswaran

To increase financing of SMEs

KOCHI: IndusInd Bank has announced expansion of its network in the next few months.

At a press conference here on Monday, Paul Abraham, chief operating officer of the bank, said it would open 30 branches and 50 offsite and six mobile ATMs. Four or five of the branches would be in Kerala.

The bank now had 59 branches and 116 ATMs in the southern region.

Mr. Abraham said the bank was setting much store by an increased foray into the retail sector, especially financing of small and medium enterprises (SMEs). Vehicle finance continued to be the major growth driver. The bank had tied up with many agencies to smoothen fund transfer from the UAE to States such as Kerala.

Giving details of the bank’s new initiatives, he said strategic alliances had been reached with strong regional banks in West Asia. Another step was tie-ups with broking companies to offer online trading accounts. A slew of products in treasury (for retail forays), wealth management and remittances were on the anvil.

A renewed focus on financing of SMEs and NRI business was another priority. Focus on investment banking to support the middle market business and transaction banking — cash and trade products, electronic services and so on — was being planned.

He said that electronic settlement platform had been rolled out in Coonoor for smoother auction of tea.

Answering a question, he said the bank was striving to be among the top three private sector banks in three years in productivity, profitability and efficiency. It was trying to become a serious player in the agri-commodity business. Rubber, pepper and spices were some of the focus commodities in Kerala. The bank had a dedicated team to drive the commodities business with the quickest possible turnaround time.

Other products and services included financial instruments, such as mutual funds, bonds and insurance schemes. The bank had tied up with Aviva Life Insurance for life cover products and with Cholamandalam MS for general insurance.