Punjab National Bank Ventures into Dubai for Global Expansion

Punjab National Bank (PNB) announces plans to open a representative office in Dubai, expanding its global footprint. The bank aims to increase profitability through diverse strategies including retail and MSME expansion, forex income, and low-cost deposits. Approval for raising Rs 17,500 crore in capital has been secured for business growth.

Punjab National Bank (PNB) is set to broaden its global presence by opening a representative office in Dubai, according to PNB Managing Director Atul Kumar Goel. The board has already approved the move, and regulatory clearance is anticipated within the current financial year.

As of March 31, 2024, PNB operates in six countries through various subsidiaries and representative offices. The bank's strategy prioritizes expanding its retail, agriculture, and MSME portfolios, as well as improving forex and fee income. Additionally, efforts are directed towards maintaining low-cost deposits and achieving a credit cost below 1 per cent this year.

With these initiatives, PNB forecasts a Return on Assets (ROA) rise to 0.8 per cent, eyeing a 1 per cent target by March 2025. The bank also secured approval for raising Rs 17,500 crore through bonds and private placements to support expected credit and deposit growth of 11-12 per cent and 9-10 per cent respectively in the current fiscal year.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)