Archive · 24 Jul 2026
ESAF SFB Crosses ₹50,000 Crore Milestone
ESAF Small Finance Bank has reached a big milestone of ₹50,000 crore in business.
The bank's leader, K. Paul Thomas, talked about how they are changing their loans to be more secure and sustainable.
They have a lot of deposits from regular people and are working on getting more money from NRIs.
The bank also plans to raise more money to meet rules and become a universal bank in the future.
They are not in a hurry and are focusing on making the bank stronger.
ESAF Small Finance Bank has crossed the ₹50,000 crore business milestone.
The bank's MARG strategy focuses on MSME, Agri, Retail, and Gold loans.
Gold loan book has crossed ₹10,000 crore.
The bank plans to reduce unsecured MFI loans to 30–35% of its portfolio.
ESAF SFB aims to reduce promoter holding to 26% by 2031.
- Who
- ESAF Small Finance Bank
- What
- Crossed ₹50,000 crore business milestone
- When
- 2024
- Where
- India
- Why
- Successful execution of MARG strategy and asset diversification
Asset Diversification Strategy
Promoter Stake Reduction
Asset Diversification
Asset Diversification Strategy
ESAF SFB has successfully executed its MARG strategy, focusing on MSME, Agri, Retail, and Gold loans to diversify its asset portfolio.
Promoter Stake Reduction
The bank aims to reduce unsecured MFI loans to 30–35% of its portfolio, emphasizing secured and government-backed loans.
Fundraising and Promoter Stake
Asset Diversification Strategy
The bank plans to raise capital once market conditions improve to reduce the promoter holding to 26% by 2031.
Promoter Stake Reduction
The current capital adequacy ratio of 22% means there is no immediate need for fundraising.
- Business Milestone
- ₹50,000 crore
- Gold Loan Book
- ₹10,000 crore
- Retail Deposits
- Over 90% of ₹26,000 crore deposits
- NRI Deposit Product
- FCNR(B) with 7.13% interest rate
- Capital Adequacy Ratio
- 22%
- Promoter Holding Target
- 26% by 2031
- Gross NPA
- 5.4% as of March
- Target Gross NPA
- Below 3%