The Hindu Business Line : Deccan Grameena Bank to focus on loans to women to buy gold

Hyderabad, May 27 Deccan Grameena Bank, sponsored by State Bank of Hyderabad, is planning to aggressively market its deposit-linked loan scheme to buy gold, offered exclusively to women.

The recently-launched loan, christened as ‘Deccan Swarnalakshmi’, was well-received by women and the bank already received 30,000 applications. “We are targeting over one lakh loan accounts by the end of the current fiscal,” Mr G. Subrahmanyam, Chairman, Deccan Grameena Bank, told newspersons here on Tuesday.

Under the scheme, women will be financed 50 times their monthly instalment (as low as Rs 200) saved in the scheme for purchase of gold/jewellery after 12 months of opening a recurring deposit account.

Another scheme ‘Deccan Rythu Cheyutha’, which aimed at providing crop loans to farmers who were not covered by any other loan, was also received well by the farmers, he said. The scheme is likely to benefit about 30,000 applicants during 2008-09.

As part of its expansion plan, the bank would be opening 27 new branches this year. It operates 173 branches in five districts of Adilabad, Karimnagar, Nizamabad, Ranga Reddy and Hyderabad at present.

In 2007-08, Deccan Grammena Bank’s gross profit went up by 58 per cent at Rs 38.6 crore as compared with Rs 24.5 crore the previous fiscal. “The growth in the profit was driven by interest income as the advances increased to Rs 1,002 crore from Rs 750 crore,” Mr Subrahmanyam said.

The total business of the bank stood at Rs 2,446 crore (Rs 2,012 crore) with a credit deposit ratio of 69.34 per cent, he added.

More Stories on : Credit Market | Gold & Silver | Andhra Pradesh | Regional Rural Banks

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page