Chhattisgarh on priority in Magma Fincorp's expansion plan

The Kolkata-based company is targeting 20% growth in the central state of India in FY17

Magma Fincorp, a leading non-banking financial company, will be giving Chhattisgarh to priority in the expansion of its business in the country.

"Of the 13 new branches to be opened in the south region of the company, eight would be in Chhattisgarh," Dhrubashish Bhattacharya, vice-president of Magma Fincorp Limited, said.

The south region in company’s territory comprises Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Telangana and Chhattisgarh.

The company has planned to increase its number of branches in the south region from 70 to 83. Bhattacharya said that three branches would be opened in Karnataka while two would be opened in Kerala. But, there was no plan on card for the expansion of business in other states.

"Chhattisgarh is the top priority state for the company for expansion of business," Bhattacharya said. Magma recorded Rs 55 crore disbursements in Chhattisgarh in the first quarter of the current fiscal, he added. The total disbursement in the south region in the last financial year was Rs 1,560 crore.

The Kolkata-based company is targeting 20% growth in Chhattisgarh in the financial year 2016-17. "We will bank on tractor loans, Suvidha (used vehicle loans) and housing finance to drive our numbers in Chhattisgarh this year," he added.

The company would be focusing on tractor finance that has been the mainstay in the state so far, he said, adding that they were confident that the renewed focus on the rural and semi-rural markets would come handy.