Andhra Bank plans to add over 450 branches to establish a network of over 3,000 branches by March 2016, with most of these being located outside Andhra Pradesh and Telangana.
Addressing media persons on the bank’s growth plans, SK Kalra, Managing Director, Andhra Bank, said in the current year it has recruited over 600 officers and 1,600 clerical staff. All the new branches will have e-banking lobby with automated cash deposit/withdrawal facility, internet banking, and passbook printing facilities.
Over 75 per cent of the branches will be located outside Andhra Pradesh and Telangana as the bank expands its presence, he said.
MSMEs (micro, small and medium enterprises) will be a focus area for the bank, he said. MSME credit has grown 20 per cent year-on-year. It now stands at about ₹22,537 crore.
C Bala Subrahmanyam, General Manager, Andhra Bank, said the service sector is a fast growing area within the MSME segment. Hospitality and automobile services are growing at a significant pace within the segment, he added.
Kalra said the gross non-performing assets (NPAs) currently stand at about 5.75 per cent (₹7,238 crore) of total loans.
However, with both Andhra Pradesh and Telangana coming out with a clear cut scheme on debt support for farmers, repayment is expected to start in the farm segment, he said.