The deficit caused by rainfall has not caused any major worry on credit offtake for Dena Bank, although it could be a problem if it worsened.
So far it has not deterred Dena Bank's credit growth projections for the current year, which is at 20-25 percent.
"We are looking at credit growth of 20-25 percent during the current fiscal," said Dena Bank Chairperson and Managing Director Nupur Mitra.
Till June, there was deficit of around 30 percent. But the bank was able to raise Rs 850 crore in tier II capital at 9.23 per cent.
"We have adequate core capital. The Rs 850 crore we raised and plouging back of profit will keep the bank going for the next three years and we do not think under the current growth projection we will require any further capital," she said when asked about capital requirement under Basel III.
The bank wants to continue with net interest margin of three per cent to strike a balance on risk-reward model of the bank.
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