KVG Bank records 22.17% growth in FY06

The Karnataka Vikasa Grameena Bank has recorded a growth of 22.17 per cent over last year. The KVGB, which was the product of the amalgamation of four Syndicate Bank-sponsored regional rural banks "" Malaprabha Grameena Bank, Netravati Grameena Bank, Bijapur Grameena Bank and Varada Grameena Bank "" has performed well in the just-concluded financial year under all parameters, according to its chairman B S Surendra.

He said that the total business of the bank stood at Rs 3,665 crore. The bank continues to occupy top the 141 RRBs in the country, Surendra said.

The total business of the bank is made up of Rs 1,917 crore of deposits and Rs 1,748 crore advances.

The bank, with its network of 387 branches spread over Dharwad, Gadag, Haveri, Belgaum, Bijapur, Bagalkot,

Uttara Kannada, Dakshina Kannada and Udupi districts has disbursed loans to the extent of Rs 862 crore.

It has earned an income of Rs 241 crore and expects the profit to be in the range of Rs 70 crore.

The NPAs of the bank stands at 4.62 per cent denoting the financial stability of the bank, Surendra said.

The chairman said the bank proposed to increase the rate of interest on deposits and start new branches as well as ATMs in the current fiscal.