Indian Bank, a prominent public sector lender, has announced plans to expand its branch network by opening 300 new branches over the next three years. This expansion will ensure the bank’s presence in every district headquarters across the country. In addition, the bank is launching a leadership development program to train approximately 400 employees, aiming to strengthen its leadership pipeline and boost competitiveness.
Branch Expansion Strategy
According to Binod Kumar, the Managing Director and CEO of Indian Bank, branch expansion is a top priority for the bank. “In the last two to three years, we have opened 70 to 80 branches. Now, we aim to significantly expand our network, targeting 300 new branches in the next three years,” Kumar said. The bank plans to focus on emerging towns, enhance its presence in existing locations, and implement a cluster-based model. The strategy includes opening branches in growing urban areas, as well as in MSME (Micro, Small, and Medium Enterprises) and agribusiness clusters. Over time, the bank aims to establish at least one branch in every major district headquarters.
Focus on Employee Satisfaction
Employee satisfaction plays a vital role in the bank’s growth strategy. Kumar emphasized the importance of retaining top talent and improving productivity through employee-centric initiatives. Indian Bank has introduced a more objective performance appraisal system to better identify high performers and incentivize them. “This will help us differentiate between high performers and non-performers, thus motivating top talent,” Kumar explained.
Leadership Development Program
As part of its efforts to build a robust leadership team, Indian Bank has identified 400 employees to undergo a year-long training program. The program will focus on developing managerial and strategic capabilities through private coaching, classroom sessions, onsite training, and project-based learning. The goal is to create a strong leadership pool that can drive business growth, while also strengthening efforts in compliance, IT, HR, and cybersecurity.
“Our leadership development initiatives will not only enhance business growth but also ensure qualitative improvements in various operational areas,” said Kumar.
Strengthening CASA and Resource Acquisition
In addition to expanding its branch network and leadership team, Indian Bank is focusing on strengthening its Current Account Savings Account (CASA) ratio. The bank aims to increase its CASA ratio from 40% to 42%, despite the challenges in deposit mobilisation. To achieve this, the bank has expanded its Resource Acquisition Centers (RACs), opening 100 last year, with plans to open 25 more. The bank has also set up Resource and Government Relationship (R&G) Centers to improve relationships with government departments and offer banking solutions beyond account openings.
“CASA growth depends on customer satisfaction, convenience, and efficiency,” Kumar concluded, highlighting the importance of meeting customer expectations to drive deposit growth.
