HDFC Bank embarks on major expansion
FOCUSSING STRONGLY this time on rural segment and small & medium enterprises (SMEs) in smaller towns, the HDFC Bank is embarking on a major expansion in Madhya Pradesh and Chhattisgarh with an objective of becoming a ?bank for classes as well as the masses?.india Updated: Jan 16, 2006 19:19 IST
FOCUSSING STRONGLY this time on rural segment and small & medium enterprises (SMEs) in smaller towns, the HDFC Bank is embarking on a major expansion in Madhya Pradesh and Chhattisgarh with an objective of becoming a ‘bank for classes as well as the masses’.
By the end of the current fiscal, the new generation private bank, which was selected for a host of awards including the ‘Best Domestic Bank in India – 2005’, will open five branches in Katni, Satna, Neemuch, Raipur and Bhilai and 12 ATMs in the two states.
The bank is set to carve out a niche for itself in the rural segment by targeting farmers with a specialised portfolio of services. Having aggregated deposits of over Rs 600 crore plus in MP-CG in retail, the HDFC Bank has set a target to achieve triple growth in SME and rural segments.
“Both for MP & CG, rural segment is an important area for us, as HDFC, apart from doing business and earning profits, would like to do its bit in the field of corporate social responsibility,” told HDFC Bank Regional Business Manager Seshan Ramakrishnan to the Hindustan Times.
He said HDFC Bank being the largest player in commodities market, would leverage it for making its foray in farm sector in MP. “We would like to touch soyabean and cotton farming with tailor-made schemes and monetary instrument like warehousing financing etc,” he mentioned.
The bank has already come up with Kisan Club Savings Account, similar to kisan credit cards, which offers freebies in the form of free debt card, waiving charges towards inter-bank transactions and several others.
“Similarly, to strengthen the SME segment, we’ve appointed SME teams in Bhopal and Indore vis-à-vis providing specialised services like cash management, forex requirement, commodity exchange,” the RBM points out.
HDFC Bank wants a logical progression in its expansion in the two states. “We want to move step by step and thereby cover all districts. By 2007, the bank would have its branches in almost all the districts in MP,” said Ramakrishnan. Simultaneously, the bank also wants to tread cautiously by complying with the RBI norms.
“We ensure that every new account opened with us should be a genuine one and through anti-money laundering and know your customer, we keep a tab on it,” he stresses. Ramakrishnan strongly feels that having a large portfolio of services, along with mutual funds and housing loans, the HDFC Bank would increase its market share by catering to all segments of customers in the society.
First Published: Jan 16, 2006 19:19 IST