Public sector lender Indian Bank plans to expand its branch network by adding 300 new branches over the next three years, ensuring a presence in every district headquarters. Additionally, the bank is launching a leadership development programme for about 400 employees to strengthen its leadership pipeline and enhance competitiveness.”
“Branch expansion will be a key focus. In the past two to three years, we have opened 70-80 branches. Now, we aim to expand significantly, targeting 300 new branches over the next three years to drive business growth and increase our market presence,” said Binod Kumar, MD & CEO of Indian Bank, in an interaction with BusinessLine.
He explained that the expansion strategy will include a mix of approaches—targeting emerging towns, strengthening existing locations, and adopting a cluster-based model. “We will open branches in growing urban areas and MSME and agribusiness clusters. Over time, we aim to have at least one branch in every major district headquarters,” he added.
Employee satisfaction
Kumar stated that employee satisfaction is critical for sustainable growth. Indian Bank has introduced several employee-centric initiatives, including a more objective performance appraisal system to differentiate between high performers and non-performers. “This will help incentivise top talent and enhance productivity,” he said.
As part of its leadership development efforts, the bank has identified 400 employees for a year-long training program focused on managerial and strategic capabilities. The initiative includes private coaching, classroom sessions, onsite training, and project-based learning.
“Our goal is to build a strong leadership pool that not only drives business growth but also strengthens compliance, IT, HR, and cybersecurity efforts, among others. Good leadership will improve overall business quality and support qualitative growth,” Kumar added.
Amid challenges in deposit mobilisation, Indian Bank aims to strengthen its Current Account Savings Account (CASA) ratio. Maintaining CASA at 40 per cent is already a challenge, but the bank is working toward increasing it back to 42 per cent.
To achieve this, the bank has expanded its Resource Acquisition Centers (RACs)—100 were opened last year, with plans for 25 more. Additionally, Resource and Government Relationship (R&G) Centers have been set up to strengthen relationships with government departments and offer banking solutions beyond account openings.
“CASA growth depends on customer satisfaction, convenience, and efficiency,” said Kumar.