IDBI Bank's H1 net profit at Rs. 33 cr.

IDBI Bank has achieved a net profit, after provision and taxation of Rs. 32.95 crores as compared to a net profit of Rs. 1.80 crores. Net interest income at Rs. 72.80 crores is 87 per cent higher than the previous year. Other income more than doubled to Rs. 67.49 crores. The increase of 16.11 crores (37 per cent) in operating expenses reflects investments in building network and other infrastructure to support future growth initiatives.

In the second quarter the bank posted a net profit of Rs. 14.73 crores against a net loss of Rs. 10.10 crores in the corresponding quarter. Net interest income for the quarter jumped to Rs. 44.10 crores from Rs. 14.50 crores. This is, in part, consequence of IDBI Bank's further success in achieving steep reduction in average cost of deposits, which are down to 7.95 per cent for the current quarter, versus 8.60 per cent for the quarter ended June 30, 2001 and 9.19 per cent for the quarter ended March 31, 2001.

Total deposits at Rs. 3,912 crores, increased by 14 per cent during the current quarter.

The bank has tied up with Tata-AIG for distribution of non-life insurance products. It has also tied up with India post for providing loans against NSCs, purchase of NSCs on internet and installing ATMs at selected India post sites.

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