Gilts give the edge to a fiscal of ferment

 Whenever they knocked at bank doors, it was only to raise fresh money to prepay old, costly debt.

 In the absence of credit growth, there was a mad rush by banks to pick up government securities. Bank investment portfolios swelled and the yield on government paper across maturities dipped sharply as too many banks chased too few papers.

 Business Standard spoke to CEOs of banks to get a feel of the fiscal 2002. Extracts:

 <b>Janki Ballabh</b><BR>
<i>Chairman, SBI</i>

 Despite the sluggish credit offtake, the year went off reasonably well. Even though large corporates were not forthcoming to lift loans, we have seen very good growth in retail loans. Particularly, personal loans, housing loans and agricultural loans grew by leaps and bounds. Overall, credit growth will be between eight and ten per cent. On the deposit front, the growth was better in fiscal 2002 than that of the previous year, in the region of 15 per cent. We will be able to post a good growth in net profit.

 <b>Aditya Puri</b><BR>
<i>MD, HDFC Bank</i>

 In the beginning of the year, we had said that we would achieve 25 to 30 per cent compounded growth over the next two to three years. At this moment, we see no reason to change our target.

 <b>K V Krishnamurthy</b><BR>
<i>CMD, BoI</i>

 It has been a good year. The credit growth was about 16 per cent and deposits 10-11 per cent. The treasury operations would account for about 25 per cent of the bank