Bank Of Maharashtra Tops List Of PSU Lenders In Credit Growth In Q2
New Delhi, Nov 13 (PTI) Bank of Maharashtra (BoM) has emerged as the top performer among public sector lenders in terms of loan growth in percentage terms during second quarter of 2022-23.
Bank of Maharashtra has emerged as the top performer among public sector lenders in terms of loan growth in percentage terms during second quarter of 2022-23.
The Pune-headquartered lender recorded 28.62% increase in gross advances at Rs 1,48,216 crore at the end of September 2022, according to published quarterly numbers of public sector banks.
It was followed by Union Bank of India with 21.54% growth to Rs 7,52,469 crore. The country's largest lender State Bank of India stood at third spot with 18.15% jump in gross advances.
However, SBI's total loans were about 17 times higher at Rs 25,47,390 crore as compared to Rs 1,48,216 crore of BoM in absolute terms.
With regard to Retail-Agriculture-MSME loans, BoM recorded the highest growth of 22.31% followed by Bank of Baroda with 19.53% and SBI at 16.51% during the period under review.
As far as low-cost Current Account Savings Account deposits are concerned, BoM topped the chart with 56.27% followed by Canara Bank at 50.99%.
BoM and SBI with 3.55% Net Interest Margin, a key profitability parameter, stood at the top among PSBs. It was followed by Bank of India at 3.49% and Central Bank of India at 3.44%.
BoM and SBI were in the lowest quartile as far as gross non-performing assets and net NPAs were concerned, according to an analysis of the quarterly financial numbers published by public sector lenders.
As per the analysis, gross NPAs reported by BoM and SBI were 3.40% and 3.52% of their total advances, respectively, in the second quarter. Net NPAs of these banks came down to 0.68% and 0.80%, respectively, at the end of September 2022.
Moreover, BoM has 16.71% Capital Adequacy Ratio, highest among PSBs, followed by Canara Bank at 16.51% and Indian Bank at 16.15% at the end of second quarter of 2022-23.
Finance Minister Nirmala Sitharaman last week had said the government's efforts to reduce bad loans have yielded results with all the 12 PSBs reporting 50% jump in combined net profit at Rs 25,685 crore in the second quarter.
In the first half of FY23, the cumulative net profit of all PSBs increased by 32 per cent to Rs 40,991 crore.