PNB will adopt multi-pronged strategy for higher growth: MD

New Delhi: The current financial year will be "a golden year" for Punjab National Bank due to its multi-pronged strategy and steady focus, its Managing Director Atul Kumar Goel has said.

The state-owned bank's aim for FY24 is to adopt a multi-pronged strategy that seeks to build upon the existing synergies and capabilities to further scale up operational efficiency for facilitating sustainable and profitable growth, Goel said in his message to shareholders. "The strategy relies on increasing market share, which includes boosting both CASA (Current Account Savings Account) share and increasing credit offtake, especially in the RAM (Retail, Agriculture and MSME) segment; improving asset quality through increasing the rate of recoveries, minimising slippages, robust monitoring of special accounts to prevent their movement to the delinquent category and enhanced collections efficiency," he said.

Besides, as per the annual report, the bank will focus on accelerating digital transformation with an emphasis on leveraging digitisation to procure more business, thrust on customer centricity through the rendering of enhanced customer service and superior customer experience and affect the employee-centric transformation to enhance efficiency and productivity of the workforce. During 2022-23 the bank initiated more than 35 digital journeys, including different RAM segments and opening new accounts under CASA through Tab banking to reduce turnaround time. "FY 2023-24 will be a golden year for your bank, and with the right strategy, steady focus and clear vision, your bank will definitely scale up its performance and generate more value and returns to all its stakeholders," Goel said.

Talking about financials, Goel said the bank recorded an operating profit of Rs 22,529 crore and a net profit of Rs 2,507 crore in FY23. The net profit registered in Q4 of FY23 was the highest ever recorded post amalgamation, he added. The bank posted a net interest income of Rs 34,492 crore, with a growth of 20.2 per cent on an annual basis. The net interest margin increased by 35 basis points to 3.06 per cent, the return on assets stood at 0.18 per cent and the return on equity at 3.94 per cent.