India-based Kotak Mahindra Bank Ltd is planning to expand its branch network, by adding around 100 branches by the end of fiscal year 2014.
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At the moment, the bank has around 503 branches in the whole country and plans to reach 600 by March 2014.
Kotak’s strategy is part of the widespread effort to expand banking opportunities in India, given the fact that the 41% of the population is unbanked and consequently excluded from access to credit.
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By GlobalDataMahesh Balasubramanian, executive vice president and head of branch banking at Kotak Mahindra Bank said: "It’s a conscious decision to try and penetrate in these unbanked and rural areas".
Currently, Kotak has a presence of 76 branches in rural areas and 119 in semi-urban ones.
In the new expansion plans, 24-34 braches are expected to be added in rural areas, while 25 will be added in semi-urban ones.
According to the latest figures, the current CASA (current-account-and-savings-account) of the bank stood around at INR154bn ($2.5bn), while the CASA to total deposit ratio, stood at 29%.
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