BoM to enhance focus on TS, AP

Bank to add more branches, create awareness on gold and MSME loans

Bank of Maharashtra (BoM) intends to sharpen focus on Telangana and Andhra Pradesh by adding more branches, carving a new zone and creating awareness on the unique features of some of its products, especially gold and MSME loans, in the wake of a significant increase in business from the Telugu States.

Total business of the Hyderabad Zone, which covers the two States, has crossed ₹11,000 crore as against ₹6,500 crore last financial year, MD and CEO A.S. Rajeev said in an interaction here recently. Besides adding more branches to strengthen the network, the bank plans to have a separate zonal office for Andhra Pradesh by the next financial year. The location of the new office has not yet been decided, he added.

Zonal Manager, Hyderabad, Divesh Dinkar said till December, the total business from the two States was ₹11,000 crore. The number of branches has gone up from 44 in April beginning to 54 at present, with 31 of them in Telangana and rest in Andhra Pradesh. It will touch 60 by this month-end as part of a strategy to have a presence in all districts of the Telugu States. On key growth drivers for BoM in the two States, he said the bank has been proactive in catering to the needs of various customers. It offered gold loan at a rate of interest of 7.35%, which is lowest among all public sector and private sector banks.

As part of the focus on MSME, the bank has launched a product under which loans up to ₹10 crore is sanctioned to such enterprises based on their GST returns. The process is simple and the MSMEs can assess their eligibility, he said, adding since the product is for those who remit taxes promptly, it recognised compliance. Home loans, from urban centres such as Hyderabad and Visakhapatnam, and SHG loans, from a few clusters, including Nellore, Mahabubnagar and Adilabad, were other growth drivers.

Mr. Rajeev said all the southern States were doing well for the bank. As part of the BoM’s plans to have a zonal office for each State, Kerala and Bhubaneswar, besides Andhra Pradesh, are likely to get such facilities next year. The move is expected to help improve credit delivery and reduce turnaround time while also helping liaison with State governments better for new business opportunities.

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