The public sector bank, Punjab National Bank (PNB), has launched a nationwide campaign to mop up low-cost funds from retail customers.
A two-month ‘PNB Saving Bank Campaign’ is underway with the aim of crossing the saving fund deposits of Rs 1,00,000 crore.
Besides this, the bank will reward its top performing employees, who participate in the campaign and garner at least 10 customer accounts.
PNB Executive Director Usha Ananthasubramanian said the objective was to increase current and savings account (CASA) share and improve customer service by inculcating sense of ownership among employees.
CASA are a source of low-cost funds for banks as no interest is paid on current accounts and only savings accounts get only nominal interest. The bank targets increasing its customer base from 70 million to 80 million.
Earlier, she launched 6 branches in Lucknow under ‘PNB Pragati’, which is PNB’s ‘organisational transformation and business excellence programme’ to offer better amenities to customers.
‘PNB Pragati’ branches would have a self-service area with an ATM, cash deposit machine, automated pass book printer and a ‘premium customer lounge’ with dedicated customer relation officer.
“More number of branches shall be converted to ‘PNB Pragati’ during the current financial year,” Ananthasubramanian added.
PNB’s pan-India CASA deposits increased to Rs 1,33,149 core in June 2012 from Rs 1,21,260 crore in June 2011, growing by 9.8 per cent. Currently, CASA share worked out to 35.6 per cent of its total deposits base. The bank is also harping on its savings bank deposit schemes to increase customer base.
In Uttar Pradesh, PNB has 1,100 branches, including 454 rural branches. Its total business in UP at the end of March 2012 stood at Rs 87,741 crore – growing by 21 per cent. PNB credit deposit ratio (CDR) in UP at 52 per cent is higher than aggregate CDR.