Axis Bank is eyeing geographies like the UK, West Asia and Sri Lanka for overseas expansion.
The international operations of the bank currently contributed for 10 per cent of its total credit revenue, said S K Chakrabarti, Executive Director, Retail Banking, SME and Agri, Axis Bank at an interactive session organised by the Merchants’ Chamber of Commerce here on Monday.
The bank at present has three branches and two representative offices overseas.
“We will be growing cautiously in the overseas market. We are looking at geographies like the UK, West Asia and Sri Lanka, subject to regulatory approval,” he said.
The bank is also looking at increasing its presence in newer segments like auto loans.
In the next one year, the bank planned to take up the share of auto loan in its retail loan portfolio to 25 per cent, from 17 per cent at present.
The banks’ total retail portfolio at present stands at Rs 19,000 crore, according to Chakrabarti. Mortgage or housing loans account for 71 per cent of the bank’s retail portfolio.
“We have become a bit heavy weight on mortgage loans. We will like to slightly shift the bias to auto loans and take the share up to about 25 per cent over the next one year,” said Chakrabarti. The bank has been witnessing auto loan disbursements to the tune of about Rs 200-250 crore on a month-on-month basis and holds a market share of about three per cent, he said.
“Our auto loan portfolio is highly skewed towards four-wheeler and new vehicles. We will continue to maintain the same mix in the portfolio and will look at clocking a month-on-month growth of about Rs 200-250 crore,” he added.
Retail loans, which currently accounts for about 21 per cent of the banks’ credit portfolio, was expected to grow to about 25 per cent in the short term, he said.