Bandhan Bank's loan book, deposits plunge in June quarter

Kolkata-headquartered Bandhan Bank Limited on Thursday reported that its loans and deposits have declined on a quarter-on-quarter (QoQ) basis in an update to the Securities and Exchange Board (SEBI).

Bandhan Bank, in accordance with SEBI's regulations, disclosed its total loans and advances have reduced 8 per cent to Rs 80,128 crore in the June quarter compared with Rs 87,043 crore in the previous quarter.

The bank's total deposits contracted one per cent to Rs 77,336 crore on a QoQ basis from Rs 77,972 crore. However, on a year-on-year (YoY) basis, loans increased 8 per cent and deposits grew 28 per cent, Bandhan Bank said in a statement.

Within bank's deposits, the current, savings account (CASA) deposits dropped 2 per cent on a QoQ basis. Bandhan Bank's CASA deposits showed a growth of 48 per cent on a YoY basis.

Bandhan Bank's Retail deposits grew 4 per cent on a QoQ basis and 36 per cent on a YoY basis. However, the bulk deposits contracted 19 per cent sequentially and one per cent on a YoY basis.

Bank's retail to total deposits ratio improved to 83 per cent in the June quarter as compared to 79 per cent in the March quarter. CASA ratio, however, declined to 42.9 per cent from 43.4 per cent, sequentially.

On a YoY basis, the CASA ratio improved from 37.1 per cent in the year-ago period. The bank's liquidity coverage ratio (LCR) stood at around 138 per cent as of June 30, 2021.

The bank added that its collection efficiency for June 2021 was around 80 per cent. Its collection efficiency of emerging entrepreneurs business stands at 72 per cent, while that of non-micro loans are at around 96 per cent.

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