The Tripura Gramin Bank (TGB) continues its good run for successive 19 years and during ‘new normal’ era, is set to play crucial role for reviving the economy of the State. The Bank has earmarked Rs 3,400 crore for current FY which would be disbursed for entrepreneurship development in the State, Chairman of Tripura Gramin Bank Mahendra Mohan Goswami said today.
Identifying the sectors on which Bank is giving priority, Goswami said, “The bank has decided to disburse Rs 3,400 crore in varied sectors with emphasis on two prime sectors—agri-allied and MSME. He said, Rs 1,280 crore and Rs 1,300 crore have been earmarked for these sectors only”.
He also said, TGB has asked all branch Managers to grant Collateral free loans under government sponsored schemes like Swabalamban and PMEGP upto Rs 10 lakh.
Presenting the financial conditions of the Bank for FY 2019-20, Goswami said that the net profit of Bank registered a 25.84 per cent growth over previous year and stood at Rs 157.87 crore.
It may be noted that TGB had registered profits in successive years since 2001-02 to 2019-2020. “The Bank has achieved a rare feat in posting profits for last 19 years without fail”, Bank sources said.
Shedding lights on financial health of the Bank, Goswami mentioned Bank’s fundamentals are very strong making it a robust banking institution. In this connection, he mentioned about 100 per cent cumulative provision against outstanding NPA.
Goswami also pointed out at Capital to Risk Asset Ratio (CRAR) and said, we have a CRAR of 21.89 per cent whereas minimum regulatory requirement of 9 per cent. Moreover, when run away NPA is causing problems for several banks, TGB has been able to keep it stagnant at around 9 per cent in 2019 and 2020. All these indicate strength of the Bank.
When asked about secret behind success in reining NPA, Goswami said, TGB focuses on Bank-borrower relationship. TGB officials make borrowers aware about value of money and impart financial literacy. This motivates the borrowers who are mostly small scale borrowers, to clear their loans.
Further detailing about fundamentals of the Bank, Goswami briefed that total business grew up by 7.22 per cent in 2020 compared to 2019. However, he pointed out that there was a marginal dip in CD ratio in 2020 compared to 2019.
He said, “CD ratio stood at 38.18 per cent in 2020 whereas it was 38.49 per cent in 2019”.
In this connection, Goswami also said, slight fall in CD ratio does not indicate reduced lending. Justifying his claim, Goswami said, “Loan and advances increased by 6.6 per cent in 2020 in comparison with 2019”.
The catch point for lowered CD ratio is that while Credit increased by 6.6 per cent, Deposit of the bank increased by 7.45 per cent resulting minor dip in CD ratio.
“TGB is emphasizing on Agri-allied sectors and disbursed loans among entrepreneurs for poultry, Diary, piggery and Fishery etc.”, Bank sources said.
Replying to a question regarding the impact of the lockdown on bank business, he said, the branches located in rural areas suffered a lot due to the lockdown and it was even tougher to make the rural population understand regarding the government imposed restrictions. But, the administration came up as a helping aide in this fight and the bank succeeded to live up to the expectations of people.
“The bank has also set an example by standing beside 187 stressed business units by providing them an emergency fund amounting Rs 4.76 crore altogether”, Goswami commented.
Besides, TGB contributed Rs 50 lakh each to PM-Cares and CMRF to combat Covid19 pandemic. The Bank extended its sponsorship of promising Artistic Gymnast Priyanka Dasgupta for one year with monthly financial assistance of Rs 15000.
The Chairman along with General Manager Moni Prasad Hazra and Chief Manager Swapan Chandra Sarkar also put light on other facts and figures of the bank that describe its superb good run and reiterated to serve the people of the State.
