Maha Bank to increase lending to corporates, lends Rs 1,500 cr in Apr-May

The bank's credit portfolio grew by 1.52 per cent to Rs 94,889 crore in March, 2020

After completing more than a one year out of the Prompt Corrective Action (PCA) regime, public sector lender Bank of Maharashtra (Maha Bank) will step up exposure to corporates through low risk loans.

It has already disbursed about Rs 1,500 crore in two months of the current fiscal (FY21), mostly companies with government backing. Reserve Bank of India had placed curbs on incremental lending to corporate sector after bank was put under PCA regime over deterioration in its financial and credit profile.

The Pune-based lender plans to grow total loan book by 12-13 per cent in FY21. However, this target is subject