Indian Overseas Bank has reported a ₹1,000-crore-plus profit for the third consecutive quarter. MD and CEO Ajay Kumar Srivastava tells Narayanan V about the key drivers behind this growth, the bank’s shift towards high-margin loans, and its preparedness to meet the expected credit loss (ECL) framework. Excerpts:

Kumar on deposit growth

Deposit growth should ideally be in line with credit growth, but that is not happening for the last six-seven quarters. Credit growth is essential — without it, there’s no income or profitability. To bridge the gap between credit and deposit growth, we are borrowing from the market. We also get refinancing from SIDBI and NABARD at affordable rates. Through these measures, we are meeting our credit requirements and maintaining our credit-to-deposit ratio

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