IOB hopes to post profit in Q2, come out from PCA this fiscal: MD & CEO

Bank is focusing hard on reducing its net NPAs to achieve this end, will enter one-time settlement with defaulters to pare bad loans

Indian Overseas Bank (IOB) is expecting to register a net profit in the September quarter of the current financial year and come out of Prompt Corrective Action (PCA) by the end of the year. 

The bank is focusing hard on reducing its net Non Performing Assets (NPA) to achieve this end, and would take measures through One-Time Settlements (OTS) to bring down the bad loans. 

It is also working on improving net interest income (NII) and net interest margin (NIM), apart from boosting Current Account and Saving Account (CASA) deposits, among other meaures, in order to improve its performance, said Karnam Sekar,