MFI Bandhan applies for banking licence

Once the MFI converts into a bank, it will be able to slash interest rates by 10%

The country’s largest today applied for a full-fledged banking licence. The MFI, which has about 4,6,00,000 borrowers, controls about 22% of the space in India. The has a paid-up capital of Rs 1,000 crore, against the regulatory requirement of Rs 500 crore, said Chandra Shekhar Ghosh, chairman, Bandhan.

Once the converts into a bank, it will be able to slash interest rates by 10%, against the present rate of about 22%, added Ghosh.

Bandhan has about 1,804 branches across India, with about 50% concentrated in West Bengal. The has sought conversion of all the branches into bank branches.

“We intend to cater to about 2,50,00,000 borrowers by 2020. The basic model of banking will remain the same in rural areas,” said Ghosh.  

With an employee base of about 1,200, Bnadhan has already started training staffs for banking services.

Earlier, the had appointed  consultancy firm Deloitte for preparing blueprint for banking foray. It had also  inducted two new board members from the banking sector, including V K Chopra, former chairman and managing director, Corporation Bank.

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Business Standard
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Business Standard

MFI Bandhan applies for banking licence

Once the MFI converts into a bank, it will be able to slash interest rates by 10%

Namrata Acharya  |  Kolkata 



The country’s largest today applied for a full-fledged banking licence. The MFI, which has about 4,6,00,000 borrowers, controls about 22% of the space in India. The has a paid-up capital of Rs 1,000 crore, against the regulatory requirement of Rs 500 crore, said Chandra Shekhar Ghosh, chairman, Bandhan.

Once the converts into a bank, it will be able to slash interest rates by 10%, against the present rate of about 22%, added Ghosh.



Bandhan has about 1,804 branches across India, with about 50% concentrated in West Bengal. The has sought conversion of all the branches into bank branches.

“We intend to cater to about 2,50,00,000 borrowers by 2020. The basic model of banking will remain the same in rural areas,” said Ghosh.  

With an employee base of about 1,200, Bnadhan has already started training staffs for banking services.

Earlier, the had appointed  consultancy firm Deloitte for preparing blueprint for banking foray. It had also  inducted two new board members from the banking sector, including V K Chopra, former chairman and managing director, Corporation Bank.

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MFI Bandhan applies for banking licence

Once the MFI converts into a bank, it will be able to slash interest rates by 10%

The country's largest microfinance today applied for a full-fledged banking licence. The MFI, which has about 4,6,00,000 borrowers, controls about 22% of the microfinance space in India The country’s largest today applied for a full-fledged banking licence. The MFI, which has about 4,6,00,000 borrowers, controls about 22% of the space in India. The has a paid-up capital of Rs 1,000 crore, against the regulatory requirement of Rs 500 crore, said Chandra Shekhar Ghosh, chairman, Bandhan.

Once the converts into a bank, it will be able to slash interest rates by 10%, against the present rate of about 22%, added Ghosh.

Bandhan has about 1,804 branches across India, with about 50% concentrated in West Bengal. The has sought conversion of all the branches into bank branches.

“We intend to cater to about 2,50,00,000 borrowers by 2020. The basic model of banking will remain the same in rural areas,” said Ghosh.  

With an employee base of about 1,200, Bnadhan has already started training staffs for banking services.

Earlier, the had appointed  consultancy firm Deloitte for preparing blueprint for banking foray. It had also  inducted two new board members from the banking sector, including V K Chopra, former chairman and managing director, Corporation Bank.
image
Business Standard
177 22

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