Vijaya Bank targets youth

Vijaya Bank, celebrating its 1,000th branch opening in Bangalore on Saturday, introduced a new product "" 'V-GenUth' targeted at younger generation. 'V-GenUth' is a savings bank account designed for children age day 1 and above and students to inculcate the habit of saving.

The bank's 1,000th branch and new product for kids was launched by Union finance minister P Chidambaram on Saturday.

Speaking on the occasion, the finance minister, called upon the bank employees to be multi-skilled and adopt to the changing needs of the banking sector.

"Henceforth, the sector will be increasingly driven by consolidation and technology," he said.

"As the sector is entering the consolidation phase, bank employees should be multi-skilled to retain their jobs. In the future, banks will be flat organisations driven by technology. Bank branches will be the interface with customers, as all divisional-level offices will go," he added.

"The banks in India need to grow either organically or inorganically through mergers and acquisitions. Indian banks need to pick up other banks to grow rapidly. Consolidation is the way for future and also the way to growth," he said.

Complimenting the bank for its initiatives at reaching out to the young, Chidambaram noted that the product had features aimed at building a lasting relationship with the child as an individual and offering a bouquet of services throughout the child's growth through school days, college days and beyond.

Prakash P Mallya, Chairman and Managing Director, Vijaya Bank said the bank is working towards meeting Basel II compliance by September 2008.

"As our business is robust and posted 39 per cent business growth last fiscal (2006-07). We have set a target of Rs 76,000 crore for this fiscal (2007-08) and hope to cross the Rs 100,000 crore mark by early 2009-2010," he added.

"Having the approvals already on hand for opening more branches, Vijaya Bank has targeted to reach 1050 branch level and also open 375 ATMs both on site and off-site by the end of this financial year (2007-08)," said Mallya.