Chairman's Desk

    With the beginning of New Year 2019, global economic growth is projected to be marginally revised from 3% in the Year 2018 to 2.9% in Year 2019. Although at the beginning of Year 2018, the global economy was firing on all cylinders, it lost the momentum during the year due to factors like rising borrowing costs, depressed capital inflows, slowdown in external demand, persistent policy uncertainties. This has lead to slower growth in many emerging markets and developing economies.

    However South Asia is considered as world’s economically fastest growing region & India is considered as one of the fastest developing economy of this region. This region is less affected with the slowdown of global economic growth & the economic growth in India has accelerated to 6.9 percent in 2018 instead, due to robust increase in consumption of domestic demand & investments during the Year 2018. It is further estimated to accelerate to 7.3 percent in Fiscal Year 2018-19 i.e. (April 2018-to-March 2019).

    The co-operative sector in India has been playing a distinct and significant role in the process of socio-economic development of the country & Co-operative Banks are considered as powerful business model in developing economies. Over the years, Co-operative Banks in India have emerged as an important link in our financial system as they are deeply rooted in local communities & are involved in local development. They contribute substantially towards development of these communities. Their specific form of enterprise, relying on the principles of Co-operation, has proven successful in both developed and developing economies. However in the present era of Liberalization, Privatization and Globalization, overall Banking Industry is struggling to overcome challenges posed by the entry of multi-national corporations/ small finance Banks, Payment Banks, cut-throat competitions from peer Banks, economic slowdown, etc.

    Given the circumstances, performance of your Bank continues to be steady in current financial year. To adapt to this changing banking environment, your Bank has also undertaken different initiatives during current financial year while adhering to the tradition of providing excellent customer service.

    Like earlier year 2017-18, this year also Bank’s prime focus is on Growth and Profitability along with maintaining good asset quality. Therefore during Current Year also, Bank continues to give cautious & selective approach on increasing Retail Advances. As a result, retail advances have grown moderately @ 11% over March 2018 figures and stood at Rs.503.06 crore at the end of February 2019.

    In the month of October 18, we reviewed Term Deposit interest rates offered by various competitor Banks and with a view to remain most competitive and to align with current market scenario, your Bank took one step forward and introduced special Fixed Deposit Interest rates of 8.60% p.a.(simple) for senior citizen and 8.50% p.a.(simple) for general public respectively for the period of 18 months. We observed a good response from existing Fixed Deposit holders as well as New Customers. This initiative has helped your Bank not only to retain its existing clientele but also to mobilize considerable amount of deposits from New Banking relationships in a very short span of time.

    “Pradhan Mantri Awas Yojana (PMAY)” is an initiative by Government of India in which affordable housing will be provided to the urban poor including economically weaker sections & Low income groups, with a mission of building 20 million affordable houses by 31 March 2022. National Housing Bank is the Nodal Authority of the government for settling the claims under the PMAY initiative. We are pleased to inform that our Bank is also enrolled with National Housing Bank (NHB) & has been successfully settling claims under both Middle Income Group (MIG) & Lower Income Group (LIG).Thus we are ensuring optimum customer satisfaction and we are committed to provide best offered solutions / subsidies (if any) to our eligible borrowers.

    Information Technology is continuously playing an important role in today’s banking environment. Therefore in today’s digital age and hyper-connected environment Banks need to re-align their business continuously. Accordingly your Bank has launched initiatives like Green PIN, C-KYC during current Financial Year. Green PIN is a step forward for paperless Banking and an easy and convenient way to generate Debit Card PIN through various channels like ATM, Internet Banking, IVR and SMS etc. C-KYC is an initiative which aims at having unique structure which allows completion of KYC (Know your customer) only once before interacting with various Financial Institutions. The objective of CKYC is to reduce the burden of producing KYC documents and getting those verified every time when the investor/ customer deal with any financial entity for the first time.

    I wish to sincerely thank all our members for their continued faith in our strength and capabilities, our customers for their valuable support and trust in us, which will lead your Bank towards achieving its goals & pinnacle of excellence. I assure that your Bank shall continue with its efforts of bringing in better products, processes & services so as to make your banking experience a joyful experience with us.


    With warm regards,
    Narendrakumar A. Baldota