KVGB in pact with Bajaj

Karnataka Vikas Grameena Bank has signed an MoU with Bajaj Allianz for its foray into the life insurance business.

The operations will commence on January 31. Karnatak Vikas Grameena Bank was formed after merging four regional rural banks "" Malaprabha, Bijapur, Varada and Netravati "" covering Dharwad, Gadag, Belgaum, Haveri, Bijapur, Bagalkot, Uttara Kannada, Udupi and Dakshina Kannada districts.

At a workshop held for bank employees on insurance products, general manager G Subba Rao called on the staff to take insurance business to rural areas in a phased manner.

He said that the banking sector was undergoing rapid changes and he called on the staff to adapt themselves to the changing scenario.

Regional manager I T Sethuraman explained the need for the banks to enter insurance business.

General manager of Sterling Insurance Company Raghunath likened globalisation and liberalisation to a kind of fiscal war and said that the KVGB's firm stride in this direction spoke of its sound fundamentals.