Utkal Gramya Bank turns around, posts profit

The Statesman, May 9, 2007

Statesman News Service
BHAWANIPATNA, May 8: Less than a year after it was formed through the amalgamation of banks, Utkal Gramya Bank has turned around its previous Rs 4. 28 crore loss, posting a net profit of Rs 2. 11 crore at the end of last financial year. Gramya Bank has 329 branches and covers 15 districts and 57 per cent of the geographical area of the state.
It was formed on 31 July last year on amalgamation Kalahandi Anchalik Gramya Bank, Bolangir Anchalik Gramya Bank and Panchabati Gramya Bank.
Sri Ramesh Chandra Pani, bank chairman announced at a Press conference yesterday that in the first year of its formation the bank and expanded business to take in Rs 2563 crore as on 31 March this year compared to Rs 2086 crores at the same time last year.
This registers a growth of 22.87 per cent with per branch business recording a growth of 20.16 per cent during the corresponding period, he said.
The bank has given priority to the agriculture sector and during the last financial year financed Rs 241 crores of agriculture credit as against the target of Rs 197.53 crores. The Utkal Gramya Bank also retained a prominent position in terms of business with self help groups. During the year a record number of 25,128 numbers of self help groups were credit linked, amounting to Rs 91.51 crores, the chairman said.
Similarly the Bank’s advances hit Rs 580 crores as opposed to a target of Rs 538.30 crores with advances to priority sectors constituting 79.68 per cent of the total advances.
This is on a par with the growth rate recovery of outstanding bank dues, which has also increased. During the last financial year recovery stood at 76.34 per cent, Sri Pani said.