SBH Managing Director Santanu Mukherjee said the bank is expected to close 2015-16 with a business of around Rs 2.55 lakh crore - deposits of Rs 1.36-1.38 lakh crore and advances of Rs 1.14-1.16 lakh crore.
SBH would kick off its platinum jubilee year celebrations on April three. It has targeted a business growth of 20 per cent in the coming financial year.
"To commemorate the platinum jubilee, we have come out with platinum jubilee deposit which is 75 weeks (525 days) at 7.95 per cent interest, slightly above the other deposit rates, and 8.45 per cent for senior citizens", Mukherjee said.
"We have shed a good amount of bulk deposits (above card rate bulk deposits or high cost deposits). We have shed around Rs 10,000 crore during this year."
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"Average cost of deposits should be just less than seven per cent. Cost of funds will also be somewhere very close," Mukherjee said.
In his opinion, stress in the banking sector would continue in 2016-17, at least in the first half for sure, and it's going to be a challenging year.
If economic growth takes place, the second half could see a better situation. Government will see to it that there is (economic) growth.
On whether the risk-taking appetite of banks would come down following the Vijay Mallya episode, Mukherjee said :"It is historically proved that whenever economy does not do well...Economic growth gets stunted...Risk taking abilities come down...It's nothing to do with Mallya per se".
He added when the economic growth is "less", banks become cautious in lending.