Kerala

Kerala Bank targets NRI deposits, seeks RBI nod

The Kerala Bank has applied for permission from the Reserve Bank of India (RBI) for receiving deposits from NRIs, targetting about ₹1,50,000 crore that reaches the State’s commercial banks. The bank deposits in both private and public sector banks went into investments in stock markets, securities and as loans to major corporates, said Minister for Cooperation and Registration V.N. Vasavan here on Saturday.

The Kerala Bank planned to use the remittances from Kerala NRIs to develop basic infrastructure in the State. Mr. Vasavan said the application had been submitted and speedy processing was expected. He was speaking after launching the IT integration programme, which is expected to turn the Kerala Bank into a new generation, fully IT-equipped bank offering all services online, including money transfers and mobile banking.

While Wipro has been entrusted with the task of IT integration, Infosys will provide the service platforms.

Mr. Vasavan said the growth of the Kerala Bank, integrating 13 former district cooperative banks and the apex cooperative bank, will bring all the entities on to a single digital platform. The aim was to become the number one bank in Kerala, he said. The digital services are expected to be ready in three months.

The Kerala Bank now has 769 branches and a total business turnover of ₹1,06,396 crore. The Minister said the Kerala Bank had turned into the second largest bank in the State with its volume of business.

The Kerala Bank, which has been part of the 100-day intensive programme announced by the government, had provided ₹824 crore worth of loans and created more than 32,000 jobs in the State though the initial aim was to create 20,000 jobs. Farmers, NRIs and small entrepreneurs have benefitted from the programme, he added.

The Kerala Bank, during the first full year of its operations (2020-21), saw 9.27% increase in deposits, with the deposits growing from ₹61,071 crore to ₹66,731 crore. The financial year also saw the bank making a net profit of over ₹60 crore, the Minister added.


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Printable version | Dec 8, 2021 4:22:24 PM | https://www.thehindu.com/news/national/kerala/kerala-bank-targets-nri-deposits-seeks-rbi-nod/article37028307.ece

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