Gujarat based Rajkot Nagrik Sahakari Bank has created history by posting a profit of Rs 113 crore this fiscal, claims Jyotindrabhai Mehta , one of the Directors on its Board who was its Chairman in the past.
“Last year we had earned a profit of Rs 85 cr but this time we were able to cross the mark of Rs 100 cr; it is the result of collective efforts put in by everyone connected with the urban cooperative bank”, underlined Mehta.
Talking about the changes introduced in the business strategies for achieving this marvel Mehta said “We focused more on micro-finance and small loans than on big business and corporates”. To tell you the truth it is the mix of the two that have got us here”, he added.
Remembering the punch line of the bank “Big bank for small people” Mehta who is popularly known as Mama said Rajkot Nagrik Sahakari Bank (RNSB) never loses sight of its strength which is small people. In this connection, he referred to a scheme of RNSB in which interest on the loan up to Rs 50 thousand is waived off if one pays regular instalments.
“After the last instalment to the bank is paid by the loanee, it returns the interest charged from him”, he stated. No wonder, the scheme sold like hot cakes thereby widening the base of the bank and winning thousands of customers in the process.
“Our next target is to reduce the NPAs to zero”, claimed Mehta. Presently, Rajkot Nagrik Sahakari Bank has Gross NPA of 6.4 and Net NPA is around 2.4. “We will work hard to bring it down to zero”, said Mehta who is respected across the cooperative spectrum for his honesty and fair-play.
On the issue of advancing loan to big business houses Mehta said there is no restriction as such but we are cautious and tread the path like a disciplined soldier.
It bears recall that Mehta is the President of Sahakar Bharati and is also on the board of NCUI as a government nominee. But Rajkot Nagrik Sahakari Bank is his stomping ground where he feels at home.
When this correspondent visited the bank last year he was amazed to see its majestic building equipped with the latest technologies. The UCB sneered, as it were, at the fake pride of many a corporate.
Surveilled by CCTVs, its building in Rajkot is eco-friendly and receives unhindered sunlight. Mehta loves to call it a power efficient green building as the building has a light system that works with censor.
The Rajkot Nagrik Sahakari bank has also built an auditorium in the name of Sahakar Bharti founder Chairman the Lakshmanrao Inamdar Training Centre which offers space enough for about 350 people.