Yes Bank plans to open 350-400 new branches across the country in next 3-5 years, Rajan Pental, Executive Director, said on Tuesday.
“So far we have been a West and North centric bank although we have branches in East and South. Our next set of branches will be large deposit centres and these can be in South, East or North”, Pental said.
Pental, who was in the capital, noted that the right strategy for the bank would be to go to the large deposit centres instead of looking at tier 1, 2 or 3 towns.
Currently, Yes Bank has a network of 1,234 branches across the country with as much as 553 branches in the entire North. In National Capital Region (NCR) alone, Yes Bank has 175 branches.
Strongest distribution of the bank so far since inception has been the Delhi-Mumbai corridor, which has been India’s fastest growing corridor.
Pental said Yes Bank would continue to retain its focus on business mix at 60:40 between retail and corporate segments.
For the second quarter ended September 30,2024, Yes Bank had recorded a 145.6 per cent y-o-y increase in net profit at ₹ 553 crore (₹223 crore), marking its highest profit since reconstruction.
Pental also said Yes Bank would soon launch a new mobile App Yes Iris Business to cater to the needs of business segment customers.
For the current fiscal, Yes Bank is eyeing deposit growth of 16-17 per cent, while aim on advances growth would be lower at about 15 per cent.
Pental also made it clear that Yes Bank had no plans to immediately raise any capital to fund business growth. “We will consider capital raising only in 2026-27. We have comfortable capital adequacy now”, he said.
When asked if the bank had any plans to grow “inorganic”, he said, “There is no such proposal on the table.”
On expectations of interest rate cut by RBI at the upcoming December MPC meeting, Pental said that it is very difficult to predict when the rate cuts would happen.
“My own expectation is that the regulator will only act if they think we are looking consistently at good control of inflation”, Pental told businessLine.
Pental also said that Yes Bank is aspiring to take its Net Interest Margin (NIM) to 3-3.5 per cent in next few years from current 2.4 per cent.