HDFC Bank has made a plan to increase the focus on rural areas. It will open 1,060 new branches in rural and semi-urban areas. It has created a separate vertical for rural banking. HDFC Bank is a private bank. HDFC is going to merge with this bank. HDFC gives home loan.
HDFC Bank has said that till now rural banking was part of its retail branch banking vertical. Now he has made it a separate vertical. Anil Bhavnani will be the head of this vertical. He is working in HDFC Bank since last 19 years.
For some time now, banks and financial companies have been increasing the focus on rural areas. Especially the attitude of private banks has changed regarding rural business. He has been accused of focusing on urban areas for a long time. Due to this, the government had made rules to increase the presence of banks in rural areas.
Axis Bank had launched the ‘Bharat Banking’ initiative last year. Its aim is to increase the focus on rural areas. Micro finance institutions have a greater reach in rural areas than banks. They give small amount of loans to the people so that they can start their work.
HDFC Bank has said that it is making its strategy keeping in mind the future. It wants to focus on areas where banking services are currently lacking. Bhavnani said that it is both a challenge and an opportunity for us. He said that he himself would supervise the work of new branch opening in rural and semi-urban areas.
HDFC Bank has said that it will open 1,064 new branches in rural areas this financial year. In the last two years, 1,000 new branches have been opened in these areas. At present, HDFC Bank has 50 percent branches in rural and semi-urban areas. It has tied up with the Institute of Rural Management, Anand, to increase the focus on rural areas.
Shares of HDFC Bank fell 1.78 per cent to Rs 1,290 on Thursday. On the other hand, the BSE Sensex fell by 1400 points.