TimesBank has secured around Rs 150 crore worth government securities of 80 corporates, including major public sector units, under its Timesprovident scheme desi-gned for provident funds.
Under the scheme, corporates can deposit their holdings in central and state government securities. This forms a part of their provident fund investments with the bank under the constituent Subsidiary General Ledger (SGL) account facility. Prior to February 28 this year, the Reserve Bank of India (RBI) used to provide the facility to corporates. This took care of the corporates' investment in government securities, their custody, keeping track of the interest and redemptions.
TimesBank was the first one to offer constituent SGL facility soon after SGL was withdrawn for provident funds by the Reserve Bank of India
Since then the bank has been aggressively marketing the product as a total package.
"We have priced it very competitively, and offered it as a comprehensive package," said Sudhir Joshi, executive vice-president (treasury) of the bank.
Before the bank's entry, it was mainly foreign banks which offered this service to corporates.
