Bandhan Bank is looking to scale up its share of secured credit in its portfolio to 70 per cent by 2025.

“There is a demand for housing loans and SME credit, which are mostly secured credit. The way the bank is growing in these two segments, the share of secured lending could reach nearly 70 per cent by 2025,” said Chandra Shekhar Ghosh, MD and CEO of Bandhan Bank.

A breakup of the bank’s total assets as of June according to regulatory disclosure shows 44.4 per cent of its credit book is from microfinance, 15.7 per cent from small business and agri loans (individual), 25.5 per cent from mortgages and the remaining from commercial banking and retail credit. The microcredit portfolio, which has come down from 86 per cent in FY19, is mostly unsecured.

The bank has seen a 27.2 per cent growth in housing credit and a 59.1 per cent growth in SME credit on a year-on-year basis in June 2022.

Ghosh also said that the bank will increasingly rely on data analytics in line with its peer banks to scale up its credit book. “There is a huge data available with us from which we are trying to identify the multiple needs of our customers. The bank has set up a data analytics team to identify the demand. If we are able to provide more than one product to our existing customers, the growth of the bank will further go up,” Ghosh said.

Ghosh was speaking on the sidelines of the announcement of Sourav Ganguly as the bank’s brand ambassador on Thursday.