Punjab National Bank (PNB) today said does not expect the RBI to hike interest rates in the forthcoming monetary policy review. |
PNB chairman and managing director S C Gupta said: "We do not expect the central bank to revise short term rates when it reviews the monetary policy in the end of October," Gupta said on the sidelines of inauguration of the bank's eighth large corporate branch (LCB). |
PNB has reduced housing and consumer loan rates by 25 basis points recently. "We will not be increasing the rate of interest for 2-3 months", Gupta added. PNB's had hiked its prime lending rate by 0.25 per cent in August to 11.5 per cent. The bank has raised Rs 1,500 crore in Tier-II debt to sustain high loan growth. |
"We expect credit growth of 20 per cent during 2006-07," Gupta said referring to robust economic growth that has boosted loans to businessmen, farmers and consumers. |
The total credit of the bank was Rs 84,000 crore, while deposits stood at Rs 1,29,000 crore till September. |
The bank is open to acquisitions if any such opportunity comes, Gupta said adding that consolidation was bound to happen and some exciting things may happen in the next one year. |
Gupta said the bank hoped to open branches in Singapore and Hong Kong, and subsidiaries in UK and Canada, once it gets the necessary regulatory approvals. |