Expect housing loan growth at 25% for FY19, says Karnataka Bank

On the strategic partnership, Mahabaleshwara said, “I have already tied up with bankbazaar, paisabazaar as well as Probe 42 as of now and with this what is happening is my sanctions growth in the housing loan itself as of now is at 43 percent whereas balance outstanding has grown at a rate of 20 percent.”

Mahabaleshwara said that last two years have seen more momentum with regards to farm loan waivers. He said that agriculture forms 17 percent of the book and about Rs 500 crore of agriculture loans fall in farm loan waiver for Karnataka state.

However, he expects no major exposure to agriculture book in Chhattisgarh and Madhya Pradesh.

Talking about real estate sector, Mahabaleshwara said, “Commercial real estate, my total exposure is around 5.58 percent of total loan book and this amounts to Rs 2,888 crore and of this my NPA is around Rs 83 crore which is around 0.16 percent of the total advances.”