Syndicate Bank In Rs 135 Crore Infotech Plan

Syndicate Bank has drawn up a Rs 135 crore technology blueprint under which it plans to link up 200 branches over the next three years.

Called the centralised banking solution (CBS), it will be kicked off in December with 5 branches. This will be extended to 15 branches by March, said D T Pai, chairman and managing director of the bank.

He said the bank also plans to enter bancasssurance in both the life and general insurance sectors.

During the first six months of the current fiscal, Syndicate Bank earned net profit of Rs 128.14 crore. It had provided Rs 112.44 crore for the compensation package in the VRS scheme during this period. Operating profit stood at Rs 181.44 crore.

Its net worth rose 18 per cent to Rs 1,139 crore in the first half, up from Rs 964 crore previously.

Capital to risk weighted assets ratio stood ar 12.28 per cent, compared with 11.45 per cent previously.

The total business of the bank increased to Rs 41,567 crore during the period. Pai said the NPAs of the bank have been reduced to 4 per cent in the half year ended on September 30.

Meanwhile. the bank has issued 4,000 credit cards in its new scheme, which was introduced on October 10.

The bank is also increasing focus on retail lending and will sanction loan up to Rs 2 lakh within a period of three years to the cardholders.

Priority sector advances touched Rs 4,752 crore accounting for 48.5 per cent of net credit, against the target of 40 per cent.

Advances to agriculture were Rs 1,769 crore, constituting 18 per cent of net credit as against the target of 18 per cent.

Out of 5.88 lakh borrowers assisted under agriculture, 48 per cent are small and marginal farmers.

Advances to weaker sections to Rs 1,011 crore accounting for 10.3 per cent of net credit.