Indian Bank aims to more than double business to ₹35 trillion by 2032

The public sector lender plans to strengthen its presence in Delhi and Mumbai while relying on MSME growth and financial inclusion to achieve its long-term business target

Indian Bank aims to more than double its business to ₹35 trillion by 2032, Managing Director (MD) and Chief Executive Officer (CEO) Binod Kumar said on Wednesday.

 

“I am very confident that we will not only achieve the target but also surpass that number,” Kumar said at an event marking Indian Bank’s 120th Foundation Day Fortnight.

 

The lender reported total business of ₹15.29 trillion at the end of the June quarter, up nearly 14 per cent year-on-year (Y-o-Y). “That means we have to become 2.3 times what we are right now,” Kumar said.

 

The bank has added more than ₹2 trillion to its business over the past 15-18 months, Kumar said. “This is like we have created a small bank within a span of 15 months,” he added.

 

 

As of June 30, Indian Bank’s total business comprised deposits of ₹8.45 trillion and advances of ₹6.85 trillion, both registering Y-o-Y growth of nearly 14 per cent.

 

The lender is counting on strong growth in the micro, small, and medium enterprises (MSME) segment to achieve its long-term target, Kumar said. Loans to the retail, agriculture and MSME (RAM) segment currently account for 66 per cent of the bank’s loan book. Outstanding advances to the RAM segment stood at ₹4.17 trillion at the end of June, up nearly 15 per cent from a year earlier.

 

“MSMEs contribute around 30 per cent to India’s gross domestic product (GDP). So, the importance of the sector is more pronounced than any other,” Kumar said.

 

Indian Bank reported a 10 per cent Y-o-Y rise in net profit to ₹3,273 crore in the June quarter, while net interest income increased 17 per cent to ₹7,435 crore. Kumar noted that the bank has remained profitable every year since 2002.

 

The bank also plans to deepen its financial inclusion efforts, with Kumar highlighting Indian Bank’s role in implementing flagship government initiatives such as the Pradhan Mantri Jan Dhan Yojana.

 

Looking ahead, the Chennai-based lender plans to strengthen its branch network in Delhi and Mumbai as part of its ambition to emerge as a global bank.

 

“Our board has decided that Indian Bank should become truly a global bank in the future. Unless we have a very strong presence in Delhi and Mumbai, we cannot achieve this,” Kumar said.