Bank of Maharashtra tops list of PSU lenders in Q1, deposit and loan growth

The Bank of Maharashtra (BoM) emerged as the top performer among public sector lenders in terms of percentage loan and deposit growth during the first quarter of 2022-23. The Pune-headquartered lender recorded a 27.10% increase in advances to Rs 1,40,561 crore at the end of June 2022, according to quarterly figures released by Public Sector Banks (PSBs).

It was followed by Indian Overseas Bank and Bank of Baroda with 16.43% and 15.73% increase in advance growth respectively. The country’s largest lender, the State Bank of India (SBI), was in fourth place with growth of 13.66%. However, in absolute terms, SBI’s global loans were about 17 times higher at Rs 24,50,821 crore, while those of Bank of Baroda were almost five times higher at Rs 6,95,493 crore compared to BoM at the end of the month. first trimester.

In terms of deposit growth, BoM grew by 12.35% and mobilized Rs 1,95,909 crore at the end of June 2022. Union Bank of India was in second place with a growth of 9.42% deposits (Rs 9,92,517 crore), followed by Bank of Baroda – up 8.51% to Rs 9,09,095 crore, according to the data. In the June quarter, public sector banks reaped more profits on the back of a continued decline in bad loans, and the trend could have a positive impact on their balance sheets in the coming quarters.

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The BoM and SBI were in the lowest quartile for gross non-performing assets (NPAs) and net NPAs, according to an analysis of quarterly financial figures released by public sector lenders. Cumulatively, all 12 public sector banks reported a profit of around Rs 15,306 crore in the three months to June, registering an annual growth of 9.2%. However, major public sector lenders – SBI and PNB – posted weaker profits in the June quarter.

During the April-June period of the previous financial year, state-owned banks recorded a total profit of Rs 14,013 crore. According to the analysis, the gross NPAs reported by BoM and SBI represented 3.74% and 3.91% of their total advances in the first quarter of the current fiscal year, respectively. The net NPAs of these banks fell to 0.88% and 1%, respectively, at the end of June.

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Gross NPAs of other public sector lenders ranged from 6.26% to 14.90%. In the June quarter, gross NPAs for Bank of Baroda stood at 6.26% and 14.90% for Central Bank of India, which is still under the prompt corrective action framework ( PCA) of the Reserve Bank of India.

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