ICICI Bank eyes 40% growth in retail loan disbursement for FY22 in Gujarat

On the back of a host of digital initiatives and a customer-centric approach in Gujarat, ICICI Bank announced on Wednesday that its retail payday loan disbursement in the state is set to increase by 40% to Rs 32,700 crore in fiscal year 2021-22 on a yearly basis (YoY).

“In Gujarat, we continue to deliver enhanced products and services through a range of digital initiatives. In this state, our endeavor is to create holistic value propositions for our customers. We are focused on opportunities across the customer ecosystem and micro-markets within the state. We have created cross-functional teams to bring the benefits of the whole Bank to all customers,” said Anup Bagchi, Executive Director, ICICI Bank.

According to Bagchi, the second largest private bank is leveraging technology to grow its retail lending business in Gujarat. For example, ICICI Bank expects its mortgage disbursement in Gujarat to increase by 35% to Rs 15,700 crore.

Likewise, consumer loans, which mainly include personal loans and car loans, are expected to increase by more than 30% to Rs 6,000 crore. ICICI Bank also expects to have almost doubled the disbursement of corporate loans and overdrafts to Rs 8,200 crore.

Talking about mortgage lending, Bagchi said the drivers of the same in Gujarat were digital and instant lending sanctions, expansion of affordable housing segment as well as micro markets and strengthening of distribution networks with developers for the direct sanctioning of loans.

“Our instant home loan facility – the first in the country – helps thousands of our pre-approved clients get the sanction letter immediately. This digital process has helped our clients, especially over the past two years, as they could take advantage of the facility without visiting any In addition, we offer mortgage loans to new segments such as industrial projects, construction of nursing homes and medical clinics as well as high schools,” added Bagchi.

The bank has set up five credit processing centers in Gujarat in cities like Vadodara, Surat, Ankleshwar, Mehsana and Palanpur to enable customers in these regions to easily access mortgage loans.

Going forward, the bank’s expansion will focus on micro-markets like textile hub and diamond market in Surat, ceramics market in Morbi, steel, metallurgical and pharmaceutical industries in Ahmedabad and industries vapi paper.