Maharashtra’s salary earners cooperative bank- Municipal Cooperative Bank crossed the business mix of more than Rs 7000 crore in the 2023-24 FY.
The total business of the bank increased from Rs 6,697 crore (2022-23) to Rs 7,328 as on 31st March 2024.
The deposits of the bank grew from Rs 3,828 crore (2022-23 FY) to Rs 4,257 crore in 2023-24 FY whereas loans & advances increased from Rs 2,869 crore to Rs 3,071 crore as of 31st March 2024.
The bank registered a slight decrease in its net profit in comparison to the 2022-23 FY. The net profit of the bank declined from Rs 92.47 crore to Rs 76.45 crore as of 31st March 2024.
Meanwhile, the bank announced a 20 percent dividend for its shareholders.
The reduction in the number of members has become a headache for the bank and is making efforts to increase its membership base. The number of members decreased from 73,888 to 71,102 as on 31st March 2024.
“The bank is also amending its bye-laws, reducing the period during which a member who withdraws or resigns their membership is not allowed to rejoin, from one year to six months after the date of withdrawal. The approval for this amendment will be sought at the AGM, scheduled for 30th August 2024
The bank cites declining membership as the reason for the amendment, noting that many members resign upon retirement from the BMC to meet urgent financial needs, only to seek re-enrollment later. Additionally, the lack of mass recruitment at the Corporation has further impacted the bank’s membership.
The bank has a network of 21 branches. The Bank has collected Rs 108594 lacs from bank’s Shareholders in the form of Compulsory Deposit payable on retirement from the Municipal Services or resignation of the membership of the Bank.
The Bank was registered under the Co-operative Societies Act in 1952 and started functioning from April, 1953.
The Deputy Municipal Commissioner Vishvas V.Shankarwar is the Chairman of the bank.
