State Bank of India's Visakhapatnam commercial branch has doubled its business volume and added seven new corporate clients during the first year of its operations.
Informing this to media persons on the occasion of the branch's first anniversary here on Wednesday, Assistant General Manager and branch head V. Narsi Reddy said that the specialised branch was meant for financing mid-corproates and recorded significant achievements. Beginning with a modest business of Rs.635 crore one year ago, it had now crossed Rs.1,356 crore. “By March-end, we are likely to touch the Rs.1500-cr mark and by 2013, we wish to take it up to Rs.2,000 crores,” he said.
There were six commercial branches of SBI in the State - four in Hyderabad, one in Guntur and one here in Vizag. At present, 20 mid-corporates – those in steel manufacture, construction and infrastructure, petrochemicals, marine products, and hospitality sector were with the bank. Any corporate with credit requirement of Rs.10 crore and above, irrespective of its location could approach the bank for finance. “We will finance it if the promoters hail from the region, our area of operation from Vijayawada to Srikakulam,” he said.
The interest rates would be reduced by two per cent or so, if the balance sheet of the client was really good or the project viable. The branch also accepted deposits, but its focus was on lending to corporates and had Rs.56 crores in deposits at present.