IDBI plans to up network to 500 branches by 2008

The Industrial Development Bank of India Limited (IDBI Limited) opened its third branch in Hyderabad on Wednesday. It plans to increase its nationwide network to 500 branches by 2008 from the present 129.

Speaking at the inauguration, V P Shetty, chairman of IDBI Limited, said, "Our strategy is to encash on our existing strengths and serve our existing corporate clients with newer and innovative products."

The branch is fully computerised using Finacle as a core banking solution, a press release said.

The new branch would provide all forms of assistance to its corporate clients, including working capital, cash credit, trade finance, letter of credit and guarantees, apart from project finance.

On the merger of IDBI Bank with IDBI Limited, Shetty said, "The merger has positive implications for all our stakeholders and clients of these two entities from the point of view of operational synergies, logistics advantages, cost efficiencies and rationalisation of business processes. In a competitive sense, the merger creates a firm foundation for IDBI Limited to compete with other banks, supported by strong operational synergies and a robust technology platform. I am confident that the merger would enable us to achieve a respectable market share in the intensely competitive financial system in the near term and facilitate our eventual passage to the upper echelons of the emerging financial architecture in India."