14.9 C
Tuesday, March 21, 2023
No menu items!

VFS Capital to expand Branch network

'‘Nearly 23 percent of lending in the financial sector happens through the NBFCs," he said.

Must Read

Kolkata: Rajnish Kumar, former Chairman of State Bank of India, has opined that Non-Banking Financial Companies (NBFCs) need to diversify risks across sectors and geographies as well as maintain capital adequacy norms and introduce core banking solutions going ahead.

Speaking at a ceremony organized by the Kolkata-based microfinance institution – VFS Capital Limited recently, to celebrate its Foundation Month, he said the risk-taking abilities of NBFCs are higher than banks, and that the regulatory stance will become tougher and tougher, with the regulation arbitrage between lenders and non-banking entities not there anymore.

- Advertisement -

Kumar also pointed out that the lending business is not only about lending but also about emotions and connections, and this is where NBFCs including MFIs score over the large commercial banks.
‘‘Nearly 23 percent of lending in the financial sector happens through the NBFCs,” he said.

During the event, the former SBI chief also spoke about his book ‘The Custodian of Trust: A Banker’s Memoir’ in a candid chat with award-winning author and columnist Tamal Bandyopadhyay.

In his opening remarks, Kuldip Maity, MD & CEO of VFS Capital Limited, said, ‘’VFS Capital is into the business of lending for the last 3 decades. Currently, we have 247 branches across 13 states, and we plan to add 35 more branches this fiscal. We are also planning to launch our business operations in Rajasthan and expand our loan portfolio to Rs.1500 crore by end of this fiscal. As of March 31, 2022, we had a loan book of Rs. 803 crore.’’

Maity also said during the last two years of the pandemic, the company had taken a cautious approach, adding that VFS Capital now plans to provide loans for affordable housing and also increase its exposure to MSME loans.

He said the capital adequacy ratio of VFS Capital stood at 24.17 percent, and also maintained an A-minus rating MFI(I) grade rating despite the pandemic.

- Advertisement -
- Advertisement -

Latest News

India conveys strong protest to US on vandalisation by Khalistani supporters

New Delhi: India today conveyed its strong protest to the US Charge d’Affaires in New Delhi over the vandalization...
- Advertisement -

More Articles Like This

- Advertisement -