GTB gets ISO 9001:2000 certification
Hyderabad: Global Trust Bank (GTB) has been awarded the quality systems ISO 9001:2000 certificate for its "state-of-the-art data centre" here. The certification covers all processes related to operation and maintenance of the data centre, which is the hub of the bank’s computer and communications infrastructure connecting all its 103 branches and 275 ATMs across the country. The ISO certification was an endorsement of the quality and reliability of technology deployed by GTB at its two data centres at Hyderabad and Mumbai, a company release said.
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SBH join hands with Maruti
Hyderabad: State Bank of Hyderabad (SBH) has announced a tie-up with car major Maruti Udyog Ltd (MUL) to expand its customer base by offering car loans. A G Kalmankar, managing director of the Hyderabad-headquartered bank, and R S Kalsi, general manager of MUL, signed a memorandum of understanding in this regard, a bank press release said.
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Coromandel NCDs on AA ratings watch
Mumbai: Crisil has placed three of Coromandel Fertilizers' non-convertible debenture programmes (worth Rs 75 crore) on AA rating watch with developing implications. The ratings announced are "outstanding ratings" and the agency will announce "eventual ratings" after it reviews implications of Coromandel acquiring stake in Godavari Fertilizers and Chemicals. The rating agency said it had acted after the Andhra Pradesh government announced that it will divest its 25.88-per cent equity stake in Godavari Fertilizers in favour of Coromandel Fertilizers. Coromandel had bid the highest for the government stake at Rs 124 per share. This amounts to Rs 103 crore for the entire stake. Also, the company will have to make an open offer for 20 per cent as per SEBI guidelines.
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Oriental Bank ties up with Infy, Wipro
New Delhi: Oriental Bank of Commerce (OBC) has tied up with Infosys and Wipro for implementing its IT plan for its centralised banking solutions (CBS). While Infosys will provide the banking software solutions, Wipro will be the supplier of hardware. The bank also announced that it has tied up with NCR for networking and installation of 200 ATMs. OBC has said that it has set aside a budget of Rs 280 crore for the purpose of IT implementation that would be spent over the next 4-5 years. To begin with, CBS would be implemented at 25 branches on a pilot basis by March 2004 covering Agra, Ahmedabad, Chandigarh, Chennai, Delhi, Ghaziabad, Gurgaon, Hyderabad, Kolkata, Ludhiana, Mumbai and Patiala. This is to be followed by 200 branches in each of the subsequent years. In the near term, the bank plans to cover around 500 branches under CBS in the next two and half years. CBS would enable customers to transact from any one of the connected branches. A customer having an OBC account would be able to open accounts at any other branch under CBS using a unique customer ID allotted without necessitating fresh introduction.
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Aviva Life Insurance to unveil more unit-linked products
New Delhi: Aviva Life Insurance is planning to launch more unit-linked products after the returns in this fund went up by 23 per cent in the last few months that witnessed surge in prices of government papers and the sensex. “About 40 per cent of our business was in unit-linked products, where return has gone up by 22-23 per cent in the past year. We are planning to broaden it with a number of initiatives,” Aviva Life CEO Stuart Purdy said. In the future, the 74:26 joint venture between Dabur India and UK-based Aviva PLC plans to introduce more unit-linked products. Aviva has so far launched a wholelife, endowment, single premium bond and pension plan policies. While the with-profit fund has provided an assured return of 5.0 per cent, the unit-linked fund has appreciated by 22-23 per cent. The unit-linked scheme has investment of about 55 per cent in debt instruments and 45 per cent in approved securities and equities. “We are perhaps the only insurer which has an in-house fund management unit. Our equity portfolio has grown by about 30 per cent after the capital market revived, while the debt portfolio appreciated by 16-17 per cent following rise in bonds prices in the soft interest rate regime,” Aviva Life senior fund manager Bobby Surendranath said.
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StanChart joins hands with Vijaya Bank for LCs
Mumbai: Standard Chartered Bank (StanChart) has entered into a strategic tie-up termed as the ‘agency trade services agreement’ with Vijaya Bank. Under this agreement, Vijaya Bank will direct their letters of credit (LCs) to ten countries through StanChart (Hong Kong), which would then reissue those LCs to the ultimate beneficiaries. The agreement covers all LCs issued by Vijaya Bank to Asian countries. Vijaya Bank would benefit from this arrangement by sharing in certain revenue streams that would be captured by StanChart Hong Kong. StanChart Bank in turn, would benefit in procuring additional trade finance volumes. Said StanChart CEO-India region Chris Low: “Vijaya Bank is one of the most profitable and efficiently-run public sector banks (PSBs) in the country today and we are delighted to partner them. This is the second trade finance partnership StanChart is entering into with an Indian Bank, further consolidating our position in the financial institution business.” StanChart’s first trade finance partnership was with Union Bank. Concurrently, this is also StanChart’s second tie-up with Vijaya Bank, the first one being for draft drawing and collection of cheques in centres where StanChart is not present. Said Vijaya Bank chairman and managing director Kapur: “With interest rates falling, Indian banks have to look into further areas to expand their business. Vijaya Bank is pleased to enter into this agreement with StanChart with a view to increasing our fee-based revenue systems.” The monthly turnover of trade transactions of StanChart (Hong Kong) is approximately $3.5 billion.
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Dena Bank to cut down its NPAs
Pune: Dena Bank plans to bring down its non-performing assets (NPAs) to a single digit this financial year, AG Joshi, CMD, Dena Bank said. He said the percentage of NPAs to net advances at the moment is one of the highest in the industry but the bank is aiming to bring it to a single digit figure. The bank’s net NPAs to the net bank credit was reduced to 11.83 per cent as on 31 March 2003 from 16.31 the previous year. The gross NPA to gross advances also declined to 17.86 per cent from 24.11 per cent during the same period. In addition to curtailing fresh NPAs through advances, the bank has also gone on an aggressive recovery programme, he said. Expansion of the DRTs and Securitisation Bill has proved to be a conducive atmosphere for better recoveries and bringing down NPAs, Joshi said. In case of 15 NPA borrowers assets were acquired after with 14 borrowers came and settled the accounts. The bank has also successfully used the DRT Lokadalat to recover dues in Ahmedabad, Surat, Baraoda and Mumbai.
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