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Ujjivan Small Finance Bank looking at overall growth of 25%

August 03, 2023

Ujjivan Small Finance Bank looking at overall growth of 25%
Ujjivan Small Finance Bank (Ujjivan SFB) is looking for an overall growth of 25 percent in the financial year 2023-24, said Managing Director (MD) and Chief Executive Officer (CEO) Ittira Davis in an exclusive interview with Moneycontrol on August 2.

He also said Ujjivan SFB is planning to open 20 asset centres in different parts of the country for the housing finance business. Davis added that they will apply for a universal bank licence in the next financial year. 
 
We are expecting a minimum overall growth rate of about 25 percent in the financial year 2023-24. (In) asset quality, we are hoping that the NPAs (non-performing assets) will fall back to pre-COVID levels, gradually dropping towards the 1 percent level, especially in micro-banking.
 
The bank’s asset quality improved in the June quarter, as gross non-performing assets (GNPAs) declined to 2.62 percent from 6.51 percent in the year-ago period. The net non-performing assets (NNPA) fell to 0.06 percent from 0.11 percent.
 
Housing is our major growth area for this year. We are planning to launch 15 new asset centres by the end of this year. We have already opened four asset centres in Mysore, Coimbatore, Ahmedabad, and Jaipur.
 
These are centres where business, credit, legal, and some of the operations staff are all located. So they can respond quickly, the turnaround time is shortened, and issues can be addressed immediately.
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