JOIN USIn a bid to tap customers of the new generation, public sector lender Andhra Bank has announced an ambitious plan to open more new ‘Navashakti’ branches this financial year, a top executive said.
“Andhra Bank has been serving customers for the last nine decades. Now we have fourth generation customers. We wish to open Navashakti branches wherever possible. It requires Rs 60 lakh to Rs 70 lakh capex per branch,” Andhra Bank Managing Director and CEO S K Kalra said.
Navshakti branches are 24x7 e-banking centres where facilities for depositing cash, withdrawal of cash, updating passbooks, coin-vending machines, internet banking, phone banking, QMS (queue management system) and depositing of cheques are available. Andhra Bank has 690 Navshakti branches pan India.
“In order to have greater presence across the country and also to reduce turnover time in decision-making, the bank has started eight circle offices throughout the country headed by a circle general manager (CGM) with higher delegated powers,” Kalra said.
At the CGM level, the bank has also increased the number of zones from 32 to 36 so as to reach more customers. It is planned to further expand the branch network to 3,600 from 2,507 in 2-3 years with each zone having 100 branches, Kalra said.
Last year, the bank opened 395 new branches and for this financial year, it proposes to open 500 new branches.
The Bengaluru circle covers six zones — Bengaluru, Hubbali, Chennai, Coimbatore, Kochi, and Tirupati. The zone has 76 branches and it is targeting to open another 24 branches this financial year.
Andhra Bank has reduced its base rate by 25 basis points from 10.25 per cent to 10 per cent with effect from June 11, 2015. The benchmark prime lending rate (BMPLR) has also been reduced from 14.50 per cent to 14.25 per cent with effect from the same date, Andhra Bank said.
If the overall economy picks up, then the bank will think of raising about Rs 1,000-crore tier-I capital and another Rs 1,000 crore in tier-II for the long term.
The bank currently has over 20,000 manpower and plans to hire another 2,000 employees, including 600 officers and 1,400 clerical staff. Kalra was in the city to inaugurate the renovated branch premises at N R Road.
K V Subbaiah circle head, Bengaluru circle, B Umasankar zonal manager, Bengaluru zone, K Satya Prasad deputy general manager of N R Road branch were present at the occasion.