Oriental Bank of Commerce targets Rs2000cr

Despite the negative impact of the downturn on the growth of credit, the public sector Oriental Bank of Commerce, is targeting to achieve a total business of Rs 2000 crore in Orissa during 2009-10. This includes deposits of Rs 1200 crore and advances of Rs 800 crore.

If it is achieved, this will represent a growth of 42.85 per cent over Rs 1400 crore total business achieved in 2008-09. To achieve this business growth, the bank will focus on enhancing advances to corporates, micro-small and medium enterprises (MSME) sector, housing, retail and education sector.

“We are about to close the current fiscal with a total business of Rs 1400 crore and intend to achieve a business of Rs 2000 crore in 2009-10”, Purnendu Sarangi, AGM and the Regional Head (Orissa, Bihar and Jharkhand) said.

Talking to the media on the occasion of the opening of a representative office at Dubai by the bank today, he said, the bank had significant exposure in the MSME loan portfolio. It advanced about Rs 200 crore to this sector in 2008-09.

The bank has 19 branches in the state with an extension counter at Rourkela and plans to add 4 more branches in Orissa before September 2009.The locations which have been identified are Patrapada (rural), Arugul (rural), Dhamara and KIIT Campus in Bhubaneswar.

Stating that the credit growth of the bank was impacted to some extent due to the slow down in the economy, Sarangi said, the delay of projects in the mining, steel and other infrastructure sectors caused the slow growth in credit. The bank plans to lend about Rs 250 to Rs 300 crore to the corporate sector in Orissa during the next fiscal.

On opening a representative office at Dubai, he said, more than 70 per cent of the exports of India were for Dubai, US and UAE.

Besides, the city boosts of a sizable Indian population. The bank intended to open offices at Hongkong, Singapore and Malaysia based on the demands of the Indian economy, he added.