Banks in Assam

 

 

The growing network of Scheduled Commercial Banks has been playing a crucial role in mobilization of saving and investments. The contribution of the “Banking and Insurance” has been growing from 3.0 percent in 2004-05 [GSDP at constant (2004-05 prices)] to 5.0 percent during the year 2009-10(Q) and thus help to boost up the state economy. As per the "Quarterly Statistics of deposits and credit of Scheduled Commercial Banks of Reserve Bank of India, March, 2010" the number of reporting Bank Offices of all Scheduled Commercial Banks in Assam stood at 1434. The average population covered per Bank branch office (based on the projected mid-year population) in the State was around 21000 which is however quite unsatisfactory in comparison to the all India average of 14,000 population during the same period.

 

Growth of Scheduled Commercial Banks of Assam and India:

(As on March)

Year

Number of Offices*

Deposits (Rs. in Crore)

Credit (Rs. in Crore)

Assam

India

Assam

India

Assam

India

2001

1268

67525

9858

949433

3160

538434

2002

1254

67897

11515

1123393

3656

655993

2003

1247

68078

12840

1276196

3760

755969

2004

1256

68645

14507

1511273

4612

880312

2005

1272

69969

17782

1746814

6271

1152468

2006

1234

68681

20872

2093042

8763

1517497

2007

1262

70711

25757

2598823

11154

1949567

2008

1317

74326

31666

3228817

13057

2394566

2009

1369

79058

39427

3937336

15115

168977

2010

1434

83997

49545

4601926

18311

3345619

* Reporting Offices only

Source: Economic Survey Assam 2010-11

 

The Bank-network operating in the Country as well as in the State have been grouped under (i) State Bank of India and its Associates, (ii) Nationalized Banks, (iii) Foreign Banks, (iv) Regional Rural Banks and (v) Other Scheduled Commercial Banks. These Groups of Bank have a distinctive role to play in the economic scenario of the State.

 

Bank group wise Scheduled Commercial Banks and India (As on March, 2010):

 

Bank Group

Assam / India

No. of offices*

Deposit (Rupees in crore)

Credit (Rupees in crore)

State Bank of India its Associates

Assam

259

21113

8102

India

17112

1035859

773817

Nationalised Bank

Assam

707

22327

7394

India

41421

2388904

1739301

Foreign Bank

Assam

1

188

32

India

288

227915

165596

Regional Rural Bank

Assam

399

3678

1746

India

15303

142422

83503

Other Scheduled Commercial Banks

Assam

68

2240

1039

India

9873

806825

583403

All Scheduled Commercial Banks

Assam

1434

49545

18311

India

83997

4601926

3345619

* Reporting Offices only

Source: Economic Survey Assam 2010-11

 

Year/Bank group wise Distribution of Deposit and Credit of Scheduled Commercial Banks in Assam:

(Rs. in Crore)

Bank Group

As on March, 2008 As on March, 2009 As on March, 2010

No. of Offices

Deposits

Credit

C.D. Ratio (%)

No. of Offices

Deposits

Credit

C.D. Ratio (%)

No. of Offices

Deposits

Credit

C.D. Ratio (%)

State Bank of India its Associates

228 12560 5577 44.40 224 16244 6667 41.04 259 21113 8102 38.37

Nationalised Bank

645 14637 5495 37.54 665 18229 6039 33.13 707 22327 7394 33.12

Foreign Bank

1 186 2 1.08 1 169 13 7.69 1 188 32 17.02

Regional Rural Bank

403 2496 1313 52.60 402 3040 1468 48.29 399 3678 1746 47.47

Other Scheduled Commercial Banks

40 1786 671 37.57 57 1745 928 53.18 68 2240 1039 46.38

All Scheduled Commercial Banks

1317 31666 13057 41.23 1369 39427 15115 38.34 1434 49545 18311 36.96

Source: Statistical Handbook Assam 2010

 

Majority of the Bank Branch Offices in the State are located in rural areas. Out of the total 1434 reporting offices (as on March-2010), 791 bank branch offices (55 percent of the total bank branch offices) are located in the rural areas of Assam and share 17 percent of the total bank deposit in the State. On the other hand, the bank branch offices in semi-urban and urban areas with 357 and 286 branch offices shared 31 percent and 58 percent of the total bank deposits respectively. The credit - deposit ratio of rural bank branch offices was 48 percent compared to semi-urban branches with 36 percent and urban branches with 34 percent during the said period.

 

District wise Distribution of Aggregate Deposits and Gross Bank Credit of Reporting Scheduled Commercial Banks:

(Rs. in crore)

District As on March 2009 As on March 2010
No. of Reporting Offices Deposits Credit No. of Reporting Offices Deposits Credit
Dhubri 43 715 314 45 854 369
Kokrajhar 23 643 299 23 856 254
Bongaigaon 29 596 172 32 741 223
Chirang 14 326 145 14 397 153
Goalpara 31 390 206 33 519 243
Barpeta 54 853 397 58 1113 480
Nalbari 36 569 324 41 692 380
Baksa 22 183 97 22 239 122
Kamrup 81 1696 1411 82 1943 1783
Kamrup (M) 158 15842 4452 166 20025 5626
Darrang 25 389 214 29 474 262
Udalguri 25 281 184 25 353 216
Sonitpur 85 1398 723 88 1721 819
Lakhimpur 46 490 300 47 653 367
Dhemaji 18 289 142 18 349 181
Morigaon 27 398 202 28 471 270
Nagaon 92 1794 769 94 2057 926
Golaghat 52 748 382 56 856 442
Jorhat 72 1741 710 76 2028 813
Sivasagar 61 1181 558 67 1434 685
Dibrugarh 86 3292 896 94 4520 1053
Tinsukia 77 1574 622 78 1969 694
Karbi Anglong 50 613 256 50 903 309
Dima Hasao 15 271 110 15 296 132
Karimganj 48 798 309 49 1014 361
Hailakandi 19 356 142 20 419 175
Cachar 80 2000 848 84 2649 972
Assam 1369 39426 15184 1434 49545 18310

Source: Statistical Handbook Assam 2010

 

District wise Distribution of Aggregate Deposits and Gross Bank Credit of Reporting Regional Rural Banks in Assam:

(Rs in Crore)

District As on March 2009 As on March 2010
No. of Reporting Offices Deposits Credit No. of Reporting Offices Deposits Credit
Dhubri 13 101 47 13 140 55
Kokrajhar 10 166 32 9 191 38
Bongaigaon 9 106 27 9 107 35
Chirang 4 31 10 4 35 13
Goalpara 11 101 47 11 126 52
Barpeta 17 169 86 17 197 103
Nalbari 16 155 98 16 187 114
Baksa 9 62 46 9 80 56
Kamrup 15 159 93 15 197 111
Kamrup (M) 7 207 72 7 267 92
Darrang 12 107 72 13 122 80
Udalguri 11 68 38 11 84 47
Sonitpur 30 195 108 30 229 120
Lakhimpur 18 71 38 18 88 52
Dhemaji 8 72 26 8 81 33
Morigaon 10 72 41 10 97 52
Nagaon 34 192 103 33 321 116
Golaghat 24 141 75 24 162 88
Jorhat 16 98 50 16 115 61
Sivasagar 21 130 50 21 139 59
Dibrugarh 14 67 32 13 83 39
Tinsukia 8 34 15 7 41 18
Karbi Anglong 32 130 92 32 192 113
Dima Hasao 8 28 15 8 31 16
Karimganj 17 121 41 17 130 48
Hailakandi 8 71 26 8 96 31
Cachar 20 190 89 20 230 103
Assam 402 3044 1469 399 3678 1745

Source: Statistical Handbook Assam 2010

 

 

Growth of Deposits and Credit:

 

With the expansion of banking facilities over the years there has also been some augmentation not only in respect of volume of deposits but also in respect of disbursement of credit by these banks. The aggregate deposit with Scheduled Commercial Banks in Assam, which was Rs.31,666 crore in March 2008, has increased to Rs.49,545 crore in March 2010. The volume of deposits has been increased above 56 percent in March 2010 over March 2008. The per capita deposit in the State was Rs.16515 in March, 2010.

 

The disbursement of credit by Scheduled Commercial Banks in Assam also maintained more or less same trend like deposits. The total volume of credit disbursed by these banks was increased to Rs.18311 crore from Rs.15115 crore in March 2009 thereby recorded a growth of 21.0 percent over the previous year. During March, 2009 disbursement of credit by banks in Assam shared only 0.55 per cent of the total credit disbursement in the country as a whole. The per capita credit has been increased to Rs.6104 in March 2010 compared to 5106 in March, 2009.

 

 

Credit- Deposit Ratio:

 

Bank wise Business and Credit Deposit Ratio, (As on 30-06-2011):

(Rupees in Lakh)

Sl. No

Banks

Deposits

Advances

Investment

C:D Ratio

C+I:D Ration

1.

Allahabad Bank**

251395.42

82094.70

0.00

32.66

32.66

2.

Andhra Bank**

9813.22

1338.11

 

13.64

13.64

3.

Bank of Boroda**

103794.00

40022.00

300.00

38.56

38.85

4.

Bank of India

60042.74

15396.37

 

25.64

25.64

5.

Bank of Maharashtra

3502

586.23

 

16.74

16.74

6.

Canara Bank*

21561.79

39219.65

 

18.19

18.19

7.

Central Bank of India**

348835.00

66043.00

5996.00

18.93

20.65

8.

Dena Bank

7577.90

1380.65

0.00

18.22

18.22

9.

HDFC*

52674.11

55753.11

 

105.85

105.85

10.

Federal Bank

52283.40

19259.20

50.00

36.84

36.93

11.

ICICI Bank Ltd

45208.00

18490.67

0.00

40.90

40.90

12.

IDBI

46008.00

62969.00

 

136.87

136.87

13.

India Bank**

128952.70

30329.98

240.00

23.52

23.71

14.

Indusind Bank*

9775.91

21542.65

 

220.36

220.36

15.

Indian Overseas Bank**

69716.12

25442.37

 

36.49

36.49

16.

Oriental Bank of Commerce*

9510.25

4506.87

 

47.39

47.39

17.

Panjab National Bank

219430.53

104526.76

 

47.64

47.64

18.

Panjan and Sind Bank

23251.00

3252.00

 

13.99

13.99

19.

State Bank of Bikaner & Jaipur*

 

 

 

 

 

20.

State Bank of India**

2335009.72

941794.73

299128.61

40.33

57.43

21.

Standard Chartered Bank*

 

 

 

 

 

22.

Syndicate Bank

32093.80

12587.36

0.00

39.22

39.22

23.

United Bank of India

594815.30

279362.25

6788.17

46.97

48.11

24.

United Commercial Bak

398252.80

105448.38

 

26.48

26.48

25.

Union Bank of India

222790.93

35708.00

 

16.03

16.03

26.

Axis Bank

121315.00

23186.22

 

19.11

19.11

27.

Vijaya Bank

66706.97

17061.94

0.00

25.58

25.58

 

All Commercial Banks Total

5428367.99

2007302.20

412502.78

36.98

44.58

28.

Assam Gramin Vikash Bank

437206.00

212666.06

500.00

48.64

48.76

29.

Langpi Dehangi Rural Bank

26923.53

15863.87

0.00

58.92

58.92

 

Regional Rural Bank Total

464129.53

228529.93

500.00

49.24

49.35

30.

Assam Co-op. Apex Bank

151076.75

50811.25

96118.97

33.63

97.26

 

All Banks Total

6043574.27

2286643.38

509121.75

37.84

46.26

31.

NEDFi & RIDF

 

131782.87

 

 

 

 

Grand Total

6043574.27

2418426.25

509121.75

40.02

48.44

Last Quarter Data

 

Total

6005112.98

2384362.05

289700.10

39.71

44.53

* Data not received. March '11 data repeted.

** Figures under Advances also include the following finance done outside for utilisation in Assam.

SBI- 493.35 Cr., Indian Bank- 24.02 Cr., CBI- 29.86 Cr., ALB- 80.27 Cr., BOB- 60.00 Cr., ANB- 5.19 Cr & IOB- 34.86 Cr.

Source: State Level Bankers Committee, Assam, June 2011

 

Year wise Credit Deposit Ratio of All Scheduled Commercial Banks in Assam and India:

(As on March)

Year

Assam

India

2001

32.0

56.7

2002

31.7

58.4

2003

29.3

59.2

2004

31.8

58.2

2005

35.2

65.9

2006

41.9

72.5

2007

43.3

75.0

2008

41.2

74.2

2009

38.3

72.6

2010

37.0

72.7

Source: Economic Survey Assam 2010-11

 

 

Priority Sector Advances:

 

The volume of aggregate advances under priority sector, according to the State Level Bankers Committee reports, have increased from Rs.6148.70 crore in 2006-07 to Rs.11314.92 crore in 2009-10. Thus, the volume of aggregate advances recorded 84.0 percent growth during the last four years. This growth was 262.7 percent when compared with the credit extended to the priority sector during the year 2004-05. During the period from 2004-05 to 2009-10, the priority sector advances have been above the bench-mark of 40 per cent of net bank credit.

 

The percentage share of priority sector loans extended to agriculture & allied activities achieved all India bench mark of 18 percent during the year 2009-10 in the State. The disbursement advances to agriculture & allied activities has steadily increased from Rs.616 crore [9.48%] in 2004-05 to Rs.2345.86 crore [13.22%] in 2008-09 and further to Rs.3868.37 crore [18.50%] in 2009-10.

 

The per capita priority sector advances has significantly increased from Rs.1170.00 to 5917.00 during the period from 2004 to 2010.

 

Advances Outstanding under priority Sector:

(Rupees in Crore)

Sectors

2004-05

2005-06

2006-07

2007-08

2008-09

2009-10

Aggregate Advances

6497.59

9811.15

12989.44

16081.43

17750.99

20910.97

Total Priority Sector Advance

3119.99 [48.02%]

4248.21 [43.30%]

6148.70 [47.34%]

8322.25 [51.75%]

10705.50 [60.31]

11314.92 [54.11]

Agriculture and Allied Activities

616..15 [9.48%]

1212.84 [12.36%

1596.74 [12.29%]

2158.80 [13.42%]

2345.86 [13.22]

3868.37 [18.50]

Industries

515.87 [7.94%]

685.52 [6.99%]

1018.13 [7.84%]

1281.63 [7.9%]

1460.25 [8.23]

2054.15 [9.82]

# Per capita Priority Sector Advances [Figure in Rs.]

1170

1594

2307

3122

4016

5917

* Figure within bracket indicates percentage share to Aggregate Advances.

# Per Capita Priority Sectors Advances calculation based on the Population Census 2001

Source: Economic Survey Assam 2010-11

 

 

Regional Rural Banks:

 

Regional Rural Banks [RRBs] were established under the Regional Rural Banks Act, 1976 with a view to give a boost to rural economy by providing rural credit to farmers, agricultural labourers, artisans and small entrepreneurs etc.

 

At present, the State has presence of two RRBs - Assam Gramin Vikash Bank and Langpi Dehangi Rural Bank. While the Assam Gramin Bank is operating both in the Brahmaputra Valley and Barak Valley covering 25 districts with 356 bank branches, the service area of the Langpi Dehangi Rural Bank is confined within the two hill districts of Assam with 42 bank branches as on March 2010.

 

The aggregate deposit of RRB was Rs.3691.39 crore at the end of March 2010 as against Rs.3044.07 crore at the end of March 2009 thereby registering a growth of 21.26 percent. The aggregate deposit of RRBs was 2496.00 crore at the end of March 2008. The volume of credit disbursed by these banks was also increased to Rs.1753.55 crore as on March 2010 from Rs.1510.43 crore as on March 2009 indicating an increase of 16.1 percent. Credit-Deposit ratio of these banks, on the other hand, marginally fall to 47.50 as on March 2010 from 49.60 as on March 2009. The credit-deposit ratio of RRBs was Rs.53.60 as on March 2007.

 

Achievement of Regional Rural Banks in Assam:

 

Period (As on)

Achievement under Annual Credit Plan (Rupees in Lakh)

Credit - Deposit Ratio

Annual Target for All Banks

Achievement of All Banks

Achievement of RRBs

All Banks

RRBs

31.03.2006

92903.27

117699.69

22665.38 (19.25%)

45.51

50.49

31.03.2007

114100.11

144984.66

26362.38 (18.18%)

48.03*

53.60

31.03.2008

175518.40

155511.33

32211.73 (20.71%)

50.48*

52.64

31.03.2009

221924.24

150226.67

37082.91 (24.68)

45.85*

49.62

31.03.2010

257892.21

250725.49

52181.55 (20.81)

42.05*

47.50

Figure in bracket shows the percentage share of achievement of RRBs to all Banks.

* Lending by NEDFi and RIDF has been incorporate as priority sector advances.

Source: Economic Survey Assam 2010-11

 

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