ICICI to shift focus on retail deposits

It is our conscious decision since last year to reduce our reliance on bulk deposits and shift our focus on retail deposits to reduce our costs of carrying money.

Contrary to belief that it was under withdrawal pressure, India's top private sector lender ICICI Bank said that it has retired about Rs. 24,000 crore expensive deposits to reduce cost and improve its bottomline.

Pooh-poohing suggestions that it was under withdrawal pressures, ICICI Bank's Joint Managing Director Chanda Kochhar said, "We have retired wholesale deposits of Rs 24,000 crore in the last six months.

At the same time, we have increased the Current and Savings Account (CASA) by Rs 3,000 crore in this period."

"It is our conscious decision since last year to reduce our reliance on bulk deposits and shift our focus on retail deposits to reduce our costs of carrying money," she added.

CASA as per centage of total deposits had increased from 25 per cent in last September to 30 per cent this September and it was something that one should go by in terms of customer confidence and low-cost deposits, she added.

On reports that the bank, which fell prey to a spate of rumours casting doubts about its financial health, Kochhar told PTI in a telephonic interview from Chennai that "on the contrary, the financial health of the bank is only improving".