T Kameswara Rao , Chairman
It is my pleasure to present this Annual Report for FY 2023 to all the stakeholders
of the Bank.
The Indian economy has performed well with GDP growth rate for FY 2023 at 7.20%
and correspondingly the Indian Banking Industry also performed better than the
As regards to Regional Rural Banks (RRBs) in the country, FY 2023 brought in a very
significant change in its outlook with the introduction of ‘Operational and
Governance Reforms’ by DFS, Government of India. As a part of it, a Viability Plan
or a 3-year Strategic Roadmap is prepared by our Bank in an aspirational tone but
with realistic projections. I am sure that our Bank is poised for growth in business
with enhanced level of profitability and also technology upgradation in a big way
under this Roadmap.
In line with the aspirations of the stakeholders, our Bank posted a growth rate of
19.77% in aggregate business during FY 2023.
Increase of Deposits by 17.45% and Advances by 21.38% during the year under
reference stands testimony to the commitment of the Bank to garner the resources
and utilize the same for credit expansion in its area of operation itself, augmenting
with borrowings by way of refinance.
The consistency in business growth of our Bank is evident from the CAGR figures
for the five-year period ending FY 2023: Aggregate Business – 17.82%; Deposits –
16.98% and Advances – 18.58%.
Our Bank could post Net NPA as NIL for three successive years ending March 2023
which is a reflection of sound asset quality management all through the year.
Our Bank posted good growth of 19.50% in operating profit for FY 2023 and
Performance Linked Incentive (PLI) of 15 days to all the eligible staff members is
paid. This is the third year in succession to pay PLI of 15 days to the staff for
having achieved growth in operating profit of more than 15%.
The CRAR of the Bank continued to improve over the past four years and now stood
at a comfortable figure of 14.53% as on 31st March 2023 which is a good augury to
tap future growth opportunities. In fact, the growth in capital is on account of
plough back of profit only.
I am optimistic on the growth path in FY 2024 as envisaged under the Roadmap,
with the continued support of all the stakeholders of our Bank.
T Kameswara Rao