Bank of Maharashtra seeking Rs.1,800 crore from government

By IANS,

Kolkata: Bank of Maharashtra has sought capital infusion of Rs.1,800 crore from the government, a top bank official said here Monday.


Support TwoCircles

“We are in the advance stages of discussion with the government for a capital infusion of Rs.1,800 crore,” M.G. Sanghvi, executive director of the public sector bank said on the sidelines of a banking summit organised by the Indian Chamber of Commerce.

“We expect to get at least 75 percent of the funding by the end of this financial year (2010-11),” he said.

At present, the bank’s capital adequacy ratio or CAR (the ratio of a bank’s core equity capital to its total assets) is at 12.78 percent, with the tier-I (core capital) CAR at 6.50 percent.

The bank is expecting 25 percent rise in advances and 20 percent increase in deposits this financial year, he said.

It plans to maintain a net interest margin (NIM) of 2.50 percent by the end of this financial year, Sanghvi added.

SUPPORT TWOCIRCLES HELP SUPPORT INDEPENDENT AND NON-PROFIT MEDIA. DONATE HERE