A recent press report said that Corporation Bank has said that despite the continuous rise in interest rates, there has not been any corresponding rise in defaults. A top official of the bank told the press that there has not been any rise in defaults in the recent time, in spite of repeated policy rate hikes by the RBI.
The official also said that the bank has set up special cells to monitor any doubtful movement in loan portfolio of borrowers. Reports said that the bank has posted 1.07% gross NPA as against 1.11% for the same period in the fiscal prior to this.
The Corporation Bank has a nationwide network of 5,000 service outlets throughout India. It has planned to open 200 branches every year and this fiscal, 50-60 branches have already been added to the bank’s network. The Bank is a Public Sector Unit with 57.17% of Share Capital held by the Government of India. The Bank came out with its Initial Public Offer (IPO) in October 1997 and 37.87% of Share Capital is presently held by the Public and Financial Institutions. It offers a wide variety of products including Car loan, Personal Loans, education loans etc.