Andhra Bank to expand its operations in Northern region

In order to reach out unbanked villages with population of more than 2,000 in the Northern region, public-sector lender Andhra Bank has written to lead bank of the respective state to allow banking services in these states through Business Correspondent(BC) model. Further, it is planning to strengthen its presence in the region by opening new branches.

“We have written to the lead bank of the state falling in the Northern region, to allow us to serve the unbanked villages through BC model, and expects that they will permit us,” said, G P Bhatnagar, Zonal manager, Andhra Bank. The Northern region comprises of Chandigarh, Punjab, Haryana, Uttrakhand, Himachal Pradesh, Jammu & Kashmir.

 

It is worth mentioning that The Reserve Bank of India(RBI) has already told banks that they must provide basic banking services in all villages with a population of 2,000 and more by March, 2012. The RBI has stressed the need to use technology like mobile technology, ICT model besides banking correspondents and brick and mortar model in reaching out to rural areas.

Currently, the Bank has 39 branches in the Chandigarh zone. It has opened seven new branches in the current fiscal and further, it is planning to strengthen its number of branches in the region by opening five more branches. Also, it is planning to open 10 to 15 more branches by next year under Tier-III.

By this the Bank will be having its branch at almost all district head quarters of Punjab and Haryana.

The present business of Chandigarh Zone was 3352 crore as on September 30, 2011.