Finance Minister Nirmala Sitharaman on Thursday met private sector banks, NBFCs and micro-finance institutions and small finance banks where she said liquidity is no longer an issue. Chandra Shekhar Ghosh, MD and CEO of Bandhan Bank, spoke about the growth in the financial sector and shared outlook.
“There is a no different approach. We have seen demand at the ground level. There is no doubt. From the liquidity point of view, there is no liquidity crunch and also yesterday, all the non-banking financial companies (NBFCs), housing finance companies (HFCs) and private banks all have given their individual statement saying that they are not facing any liquidity crunch in lending to people. It is very normal because in the first two quarters every financial year demand is low and one month before the Puja, it will start and will continue up to March,” Ghosh said on Friday.
On the growth, he said, “Every day we are lending to 35,000 borrowers. More than Rs 250 crore we lend in a day. So monthly 6-7 lakh people get the fund from our bank. The number may go to 50,000 up to March. We also lend small amounts to NBFCs and HFCs as well.”
Talking about the loan shamiana, Ghosh said, “It is not a mela, it is actually the awareness building. We will see people’s demand and if the bank feels that they fit in the criteria then there can be disbursement. Specifically, with Bandhan Bank, we have 5 lakh outlets where we are going weekly and asking people for demand loans and if it fits the amount accordingly we process it.”
Speaking about the competition, he said, “The small finance banks or microfinance institutions (MFIs) – those are my colleagues, we have worked together, we know each other. We are very friendly."
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