 "AU Small Finance Bank")
AU Small Finance Bank expects to invest over Rs 500-700 crore to scale up its digital banking and information technology over the next three-five years, taking the total tech spending to over Rs 1,000 crore. This would mean its cost-to-income ratio may remain above 50 per cent in the medium term.
Sanjay Agarwal, managing director and chief executive, said the lender was in a growth phase and is spending to achieve digital ambitions. Also, human resources need a lot of support. The cost-to-income ratio has gone up from 52.4 per cent in FY21 to 57.1 per cent in FY22.
While the cost of income ratio may not have peaked, it is close to it. It takes three-five years to see
