PN Vasudevan, Managing Director, Equitas, said Equitas was present in a range of credit products and the small-bank licence will help it extend its portfolio to liability-based products also.
“We are in a range of credit products for the un-served and under-served segments. We are in micro-finance, used-vehicle finance for drivers, affordable housing and micro-enterprises financing.”
Banking on good will“We have a good presence in rural and urban areas and a fair amount of goodwill in the community we serve. It will help us extend our services to agri-based lending also in a big way,” said Vasudevan.
The focus, however, will be on liability-based customers who are now placing the money with informal institutions.
As of March 2015, Equitas had a loan book of ₹4,000 crore and a net worth of ₹1,200 crore.
Will it raise fresh funds for the small bank foray? “As of now, no. But that is a call that our board will have to take as we go forward with the approvals and apply for a licence,” said Vasudevan.