Archive · 19 Jul 2026
PNB Confident in Achieving Financial Targets
Punjab National Bank (PNB) is feeling good about its future plans.
The bank's boss, Ashok Chandra, thinks they can grow their net interest income by 7% by the end of FY27.
They also want to get $2.5 billion from NRIs through a special deposit scheme by September 30, 2026.
Even though their deposits are growing slower than their loans, they don't see it as a big problem.
They are working on making their loans better and cheaper to manage.
They also started new services like supply chain, cash management, and credit cards, which are doing well.
The bank made a lot of money in the first quarter, but they are saving some for future challenges.
They believe they can keep growing and doing well in the future.
PNB aims for a 7% growth in net interest income by FY27.
The bank targets $2.5 billion in FCNR (B) deposits by September 30, 2026.
Deposit growth is 8.5%, while credit growth is 12.7%, but the CD ratio is manageable.
New initiatives like supply chain, cash management, and credit cards are contributing to growth.
PNB has built substantial provisions for future challenges and expects continued improvement in financial performance.
- Who
- Punjab National Bank (PNB)
- What
- PNB is confident in achieving its financial targets for FY27, including net interest margin and FCNR (B) deposits.
- When
- Targets are set for FY27 and beyond.
- Where
- Punjab National Bank
- Why
- The bank is focusing on building a good quality credit book, reducing the cost of deposits, and leveraging new initiatives for growth.
Optimistic Outlook
Cautious Approach
Deposit Growth vs. Credit Growth
Optimistic Outlook
Deposit growth being lower than credit growth is not a concern as the CD ratio is manageable and there is room for growth.
Cautious Approach
The bank needs to be mindful of the cost associated with raising deposits in the bulk segment and ensure it aligns with profitability goals.
- Net Interest Income Growth Target
- 7% for FY27
- FCNR (B) Deposit Target
- $2.5 billion by September 30, 2026
- Operating Profit Growth Guidance
- 9-10%
- Deposit Growth
- 8.5%
- Credit Growth
- 12.7%
- CD Ratio
- 73.4%
- ECL Provision
- ₹2435 crore