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MUMBAI, May 17

THROUGH a conscious shift in its image and focus, the State Bank of Bikaner and Jaipur (SBBJ) is looking to reposition itself as a niche player in the retail and mid-sized corporate segments, according to the bank's Managing Director, Mr N.K. Puri.

The bank has recently cut PLR to 11 per cent and has also lowered rates on other personal finance products. Rates on housing loans are at 11 per cent and car loans are at around 13.5 per cent.

"With the retail customer base of around 11 million, the bank is looking to establish a niche for itself for Rajasthanis based outside the State to adopt and support the bank,'' said Mr Puri.

He added that the bank planned to increase its total deposit base to around Rs 2,000 crore in the current fiscal from levels of Rs 1,250 crore. Around Rs 1,500 crore of the total Rs 2,000 crore would be from the retail segment, Mr Puri said.

For the year ended 2002, the bank is targeting a growth in net profit of around 50 per cent from net profit levels of Rs 105 crore as on March 31, 2001.

The bank plans to reduce its gross NPAs to around 7.5 per cent from the current levels of 9.7 per cent and its net NPAs to around four per cent from the current levels of six per cent.

For reduction of NPAs, Mr Puri said that the bank had adopted a multi-pronged approach such as constant surveillance of accounts and compromises under the one-time settlement.

Of the total NPAs of around Rs 515 crore, NPAs to the tune of around Rs 215 crore were recovered through recoveries, write-offs, etc. However, on account of slippages, NPAs moved to around Rs 615 crore.

On the technology front, of its 801 branches, 217 branches have been computerised and the bank intends to interconnect these branches. The bank also intends to add 75 ATMs this year, taking the total number of ATMs to 100. The bank intends to invest around Rs 100 crore on its technology initiatives.

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