• Growth guidance: The bank expects overall loan growth of 25% to 30% and deposit growth of 20% to 22%, led by wholesale and gold portfolios. Management remains cautious on SME and agricultural books due to global supply chain uncertainties and projected below-normal monsoons of 91% to 92%.
• Asset quality: Credit cost declined to a low of 18 basis points during the quarter, while net NPA dropped to 40 basis points, marking its lowest level in five to six quarters. The Special Mention Account (SMA) book continues to contract, supporting a stable credit outlook despite macroeconomic headwinds.
• Margin trajectory: Net interest margins, which stood at 3.83%, are projected to stay within the 3.75% to 4.00% range across the next two quarters. Any potential margin pressure is expected to be limited to minor fluctuations of 5 to 10 basis points.
• CASA expansion strategy: Following flat CASA growth despite overall deposit growth of 27%, the bank is executing a strategic CASA push supported by upgraded core and surround technology systems. The initiative will deploy dedicated sales channels in metros to support retail asset cross-selling through FY2030.