CanBank records 18% growth in business

The Bangalore-based public sector lender Canara Bank has recorded an increase of 18 per cent in global business at Rs 534,710 crore for the third quarter ended December 31, 2011 as against the corresponding period last year.

Total deposits increased to Rs 315,456 crore, recording a growth of 19.7 per cent year on year. Advances grew by 15.5 per cent to reach Rs 219,253 crore, up from Rs 189,882 crore as at December 2010. The bank’s domestic business constituted about 96 per cent of the total business. The Bank’s CASA (current account, savings account) deposits stood at 25 per cent. Savings deposits grew to Rs 63,361 crore as at December 2011, S Raman, chairman and managing director, Canara Bank said.

The bank’s credit growth during the period was in line with the industry’s growth and was broad based across major segments such as retail, priority, MSMEs, industrial and infrastructure. The bank’s retail lending portfolio reached Rs 24,950 crore. Outstanding housing loan portfolio improved to Rs 15,802 crore, constituting over 63 per cent of the total retail-lending portfolio, Raman told reporters. The bank’s credit to micro, small and medium enterprises (MSME) recorded a year on year growth of 10.4 per cent to reach Rs 39,017 crore compare to a level of Rs 35,348 crore as at December 2010. Outstanding advances to the priority segments grew by 10.4 per cent to reach Rs 72,753 crore. Credit to agriculture touched Rs 31,179 crore, a growth of 15.2 per cent. Agriculture portfolio covers over 3.35 million borrowers.

Canara Bank’s education loan portfolio rose by 13.9 per cent to Rs 3,898 crore, with a coverage of over 206,000 students.

During the last one year, the bank has opened 395 branches and 519 ATMs. During nine months of this fiscal, the bank opened 312 branches, including 268 branches in rural and semi-urban locations.