YES Bank to scale up branch network to 250 by June 2011

In a major bid to expand its pan-India footprint, private sector YES Bank, on Tuesday said it planned to open 100 new branches in the next one year. The bank had received licences to open 91 new branches this month, and planned to scale-up its branch network to 250 within the next one-year, it said in a statement.

This is in line with the bank’s focus on building its branch banking businesses through an integrated small and medium enterprises (SME), micro, small and medium industries (MSME), retail and liabilities-driven proposition, besides the continued focus on its corporate businesses.

“I truly believe this incremental branch expansion is a significant organisational imperative for the bank’s next phase of growth Version 2.0 that will further propel retail and SME banking initiatives,” Managing Director & CEO, Rana Kapoor, said.

“YES Bank will steadily enter into the retail banking segments, by offering a wide suite of competitive products, while augmenting the pan-India branch presence,” he added.

YES Bank recently announced the launch of Version 2.0 with the objective of achieving a balance-sheet size of Rs 1,50,000-crore, a pan-India branch network of 750 with a human capital base of 12,000 by 2015.

The focus for the next phase of growth would primarily be on deposit mobilisation, the statement said, adding the bank planned to increase its current and savings account (Casa) as a percentage of total deposits from around 9 per cent to a minimum 20 per cent by 2012 and 35 per cent by 2015.

Integrated branch banking and commercial banking business which includes emerging corporates, SME and retail customers will be the key growth and value drivers in Version 2.0, while wholesale banking will continue to be a sizable business and key contributor.