Kotak Mahindra aims 20-30% growth in 2013-14

Private lender Kotak Mahindra Bank today said it aims achieving 20-30% growth in total business in current fiscal despite tough market conditions and will expand its reach by opening over 100 branches across the country.

"There is a lot of volatility happening (on economic front) ... Uncertainty is building (up)... But we want to grow better than the market ... We are aiming to achieve 20 to 30% growth in our total business," the bank's Executive Vice President, Mahesh Balasubramanian told reporters here.

Kotak Mahindra Bank clocked a growth of 19% and 26% in advances and deposits, respectively in the first quarter of current fiscal. In the last fiscal, its advances grew by 25% while deposits went up by 32%.

The bank has a loan portfolio of Rs 50,539 crore and deposits to the tune of Rs 52,454 crore as on June 30, 2013.
To achieve ambitious growth target, the bank will focus on its commercial and consumer loan segments.

"Our focus will be on rural and semi urban rural market, consumer banking loans, agriculture loans and commercial loans," he said.

In consumer banking segment, Kotak Mahindra's mortgage and personal loans grew by 20 and 70%, respectively while agriculture loans went up by 28% as on June 30, 2013.

On expansion plans, Balasubramanian said the bank would raise its branch strength from 445 to 550 by March 2014.

Asked whether the bank will go ahead with its branch expansion in the wake of "weak" economic environment, he said, "We are a growing bank and believe there is room to grow... We will expand in market where we see opportunities."