Karnataka Vikas Grameena Bank (KVGB) has registered an operating profit of ₹124.89 crore apart from registering a growth of ₹1,549 crore over the last financial year. Chairman of KVG Bank P. Gopikrishna said on Monday that it has emerged stronger with its focus on rural development, agriculture, MSME and digitalisation initiatives and reached a business level of ₹27,818.00 crore.
Mr. Gopikrishna said that the gross income of the regional rural bank had increased from ₹1,492.84 crore to ₹1,589.53 crore. During the current fiscal, the total expenditure had come down to ₹1,583.03 crore as against ₹2,097.80 crore during the last fiscal. “After making a provision for ₹118.39 crore towards tax and other expenditure, the bank has shown a net profit of ₹6.50 crore. The bank’s net worth has now risen to ₹1,192.62 crore,” he said.
He said that despite the economic slow down caused by the COVID-19-induced lockdown, the bank had recorded a growth of ₹1,549.19 crore.
During the current fiscal year, the total deposit of the bank had increased from ₹15,178.49 crore to ₹16,099.69 crore with a net increase of ₹921.2 crore, recording a growth of 6.07%.
Giving further details, he said that the gross income has increased from ₹1,492.84 crore to ₹1,589.53 crore. And, the business has also increased from ₹41.50 crore to ₹44.23 crore per branch. Despite the economic slow down and financial hardships caused due to the pandemic, the bank had managed to bring the net NPA level to 9.22% with an outstanding cash recovery of ₹1,007.37 crore, Mr. Gopikrishna said.
Regarding the target for the financial year 2021-22, Mr. Gopikrishna said that the bank was looking at making a business of ₹31,000 crore with more thrust on agriculture, MSME and retail, including housing and investment credit.
