Indian Bank’s Q1 FY2021 results

Amalgamation of Allahabad Bank came into effect on April 1st 2020. Accordingly, the combined financial as on 30th June 2019 have been arrived at by aggregation of audited numbers of combined figures of two Banks.
MD &CEO’S QUOTE:
Commenting on the results, Ms Padmaja Chunduru MD & CEO, Indian Bank said, “This is a very satisfying performance in the first quarter post amalgamation. The key parameters of income, cost efficiency and profitability have improved both Y-o-Y and Q –o-Q. Asset quality has improved. The Bank has made upfront provisions in 2 accounts and also contingency provisions for COVID-19. The accounts under Moratorium constitutes above 23% and there is very good progress being made on the collection front, month on month. The amalgamation is going on track and we expect to complete it in the current Financial Year.”
Recent initiatives
Indian Bank has recently reduced interest rates on it Agricultural Jewel Loans at 7% fixed ( Rs 583/- per lakh per month) with a view to provide easy and cheap credit to needy farmers in the present pandemic situation. This interest rate is one of the least in the industry; moreover, the lending rate per gram is also high. The Bank provides 80- 85% of the jewel value as loan which is repayable in 6 months. Gold loans are disbursed very quickly with simple processing system and procedures, through more than 3000 branches across the country. Besides Agri Gold Loan, there are also varied Gold Loan Products for MSME and other consumption purposes also.
The MD & CEO. Ms Padmaja Chunduru last week on August 7, 2020 addressed the Bank’s 14th Annual General Meeting through Video Conferencing (VC) and Other Audio Visual Means (OAVM). The AGM was also attended by Board of Director and the Executive Directors. Due to COVID pandemic, shareholders of the Bank also participated through VC/OAVM.