Crisis-hit private lender YES Bank saw a 34 per cent or Rs 71,991 crore decline in its deposit base to Rs 1.37 lakh crore since September 2019 till date, indicating a complete break of trust in the bank.
YES Bank's deposit base plummeted from Rs 2.09 lakh crore in September 2019 to Rs 1.65 lakh crore in December 2019, as worried customers withdrew money from their savings and term deposits with the distressed lender. It has declined further to Rs 1.37 lakh crore as on March 5, 2020.
The bank's deposit base had fallen considerably in the last five months amid concerns over long-term viability of the bank and its ability to raise fund.
YES Bank's savings deposits fell 25 per cent on quarter-on-quarter (q-o-q) basis to Rs 29,764 crore in the December quarter of FY20. While term deposits declined 22 per cent sequentially to Rs 1.12 lakh crore, current account deposits fell by 6 per cent q-o-q to Rs 23,440 crore during the period under review.
As of December 2019, the bank's current account savings account (CASA) ratio of the bank stood at 32.1 per cent of total deposit, compared to 30.8 per cent in the corresponding period last year and 33.3 per cent in September quarter of this fiscal. A lower CASA ratio means lower portion of the deposits of the bank has come from current and savings deposit.
On the other hand, advances of the bank declined by 24 per cent on year-on-year basis to Rs 1.86 lakh crore as compared to Rs 2.44 lakh crore in same quarter last year. On the quarterly basis, the advances declined by 17 per cent to Rs 2.24 lakh crore in September quarter.
YES Bank on Saturday reported a huge loss of Rs 18,564 crore for the third quarter ended December 2019, against a net profit of Rs 1,000.5 crore in the same quarter last year, due to a sharp rise in bad loans. The bank's gross non-performing assets (NPAs) have spiked to 18.87 per cent - the highest in the private banking space. In absolute terms, Gross NPA of Yes Bank surged to Rs 40,709 crore in the December quarter from Rs 5,158 crore a year ago.
Meanwhile, shares of YES Bank closed Monday's trade at Rs 37.10 apiece, up 45.21 per cent, on the Bombay Stock Exchange (BSE) after eight banks including SBI came to the rescue of the troubled lender with a total capital of over Rs 11,000 crore. The stock hit its all-time low of Rs 5.55 on March 6 after RBI took over the board of private sector lender.