Bandhan Bank Says Its Deposits Rose 32% To Rs 57,073 Crore In FY20
Total deposits at Bandhan Bank Ltd. rose 32 percent year-on-year to Rs 57,073 crore in the fiscal year ended March 31, 2020. The private sector lender had total deposits of Rs 43,232 crore on March 31, 2019.
The data compares the standalone business as on March 31, 2019, to that of merged entity on March 31, 2020. In October 2019, Bandhan Bank merged with Gruh Finance Ltd. in order to bring down shareholding of the promoter from 82.26 percent to 60.96 percent.
According to the bank’s regulatory filing, retail deposits rose 34 percent year-on-year to Rs 44,760 crore in FY20, making up 78.4 percent of total deposits. Deposits from the lender’s microfinance business accounted for 5.7 percent of total deposits.
On its microfinance business, Bandhan Bank said its collection efficiency pan-India in the fourth quarter of FY20 stood at nearly 98.7 percent. "Deposits from microbanking customers continues to be strong and stable despite three weeks of lockdown," Bandhan Bank said.
The lender's loans and advances rose 60 percent to Rs 71,825 crore in FY20 from Rs 44,776 crore a year ago, according to the regulatory filing.
Liquidity Coverage Ratio
As on March 31, 2020, Bandhan Bank said it had excess liquidity amounting to Rs 8,402 with the liquidity coverage ratio at nearly 161 percent. “In addition, the bank is in a position to draw up to nearly Rs 1,815 crore under MSF (marginal standing facility) of RBI," it said in the regulatory filing.
The marginal standing facility is the rate at which banks can borrow overnight loans from the Reserve Bank of India against the approved government securities.
Capital Adequacy Ratio
The lender's Capital Adequacy Ratio as on March 31, 2020, stood at 26.7 percent and Common Equity Tier 1 ratio was at about 25.5 percent.
The Kolkata-headquartered bank said these figures were provisional unaudited numbers and were subject to review and examination by the audit committee and board of directors as well by the statutory auditors of the bank.