Indian private lender RBL Bank expects a 20% growth in its loan book over the next two financial years, largely led by secured retail assets, its managing director and chief executive officer said on Wednesday. "We are trying to get into areas which are futuristic ... and have a better management of the capital," R Subramaniakumar told Reuters in an interview. "We have forayed into areas like gold and housing loans where the risk weight is fairly less and capital adequacy is going to be taken care of."
Mahindra and Mahindra does not intend to build on its stake in RBL Bank, the Indian automaker said on Friday, roughly a week after its purchase of a 3.5% stake in the lender sparked investor concerns. Mahindra shares plunged at the announcement of the 4.17 billion rupee ($50 million)-deal, in which the company said it also planned to raise its stake to 9.9% in the future, subject to regulatory approval. "This investment is really for us to understand banking in a lot more detail with a seven- to 10-year view," CEO Anish Shah said in a press conference following the company's earnings on Friday.