Mumbai: Kotak Mahindra Bank is focusing on two industry pockets to expand its corporate loan book: Growth financing and Small and Medium Enterprises (SMEs).
The bank will concentrate on working capital disbursements and growth financing, including asset acquisition under the Insolvency and Bankruptcy Code (IBC).
While the bank scouts for good credit opportunities in high-quality big corporates, it has merged the SME business with the wholesale banking vertical, separating it from the retail segment.
According to KVS Manian, president – Corporate, Institutional and Investment Banking, SMEs that survived disruptions caused by the implementation of the uniform producer levy and the currency-note swap programme have emerged stronger.
“Last financial year, SME loans hardly expanded as those small businesses were struggling to cope with the aftereffects of DeMon and GST implementation, both aimed at bringing money into formal channels,” Manian said. “We will now focus on the SME segment ..
The bank classifies any business with a turnover between Rs 50 and Rs 500 crore as an SME. It pursues such credit through about two dozen locations across the country.
Last financial year, Kotak Mahindra Bank participated in Tata Steel’s acquisition financing, ET reported earlier. Tata Steel acquired Bhushan Steel through insolvency proceedings, and it availed a credit line of about Rs 16,500 crore from at least half a dozen banks, including Kotak. There are many other companies that ma ..
The bank will concentrate on working capital disbursements and growth financing, including asset acquisition under the Insolvency and Bankruptcy Code (IBC).
While the bank scouts for good credit opportunities in high-quality big corporates, it has merged the SME business with the wholesale banking vertical, separating it from the retail segment.
According to KVS Manian, president – Corporate, Institutional and Investment Banking, SMEs that survived disruptions caused by the implementation of the uniform producer levy and the currency-note swap programme have emerged stronger.
“Last financial year, SME loans hardly expanded as those small businesses were struggling to cope with the aftereffects of DeMon and GST implementation, both aimed at bringing money into formal channels,” Manian said. “We will now focus on the SME segment ..
The bank classifies any business with a turnover between Rs 50 and Rs 500 crore as an SME. It pursues such credit through about two dozen locations across the country.
Last financial year, Kotak Mahindra Bank participated in Tata Steel’s acquisition financing, ET reported earlier. Tata Steel acquired Bhushan Steel through insolvency proceedings, and it availed a credit line of about Rs 16,500 crore from at least half a dozen banks, including Kotak. There are many other companies that ma ..
0 Comments