INSUBCONTINENT EXCLUSIVE:
KVS Manian took charge of private sector lender Federal Bank on Monday as managing director and chief executive officer (CEO)4 min read
Last Updated : Sep 23 2024 | 9:46 PM IST
One of the key challenges for K V S Manian, who took charge of private sector lender Federal
Bank on Monday as managing director and chief executive officer (CEO), will be boosting the deposit franchise amid a dwindling share of
K V S Manian, a veteran banker with nearly three decades of rich experience, should help the bank deliver on its strategy and ensure strong,
new CEO will likely need to address.
The first challenge is the LCR of Federal Bank, which was 111-112 per cent in the first quarter of
However, the Reserve Bank of India (RBI) has now proposed draft norms that mandate an additional 5 per cent run-off factor for deposits
linked to mobile and internet banking
Analysts have pointed out that the impact on LCR from these draft norms, if implemented, could range from 10 to 30 percentage
point.
Srinivasan had said that the lender aimed to operate within a band of 105-120 per cent LCR while highlighting that the bank would
public sector banks that have ratios above 130 per cent.
As banks offer attractive rates on fixed deposits, most have seen a decline in
ratio has fallen to 29.27 per cent at the end of June 2024, down from 31.85 per cent a year ago
best-in-class deposit franchise, Federal Bank has failed to translate this advantage into a superior cost of funds, largely due to a soft
As Federal Bank continues to improve its share of business and product penetration in its wholesale banking relationships, the current
handicap, particularly when compared to larger banks
Better pricing is essential for improving the return on asset (RoA), which was 1.27 per cent in the April-June quarter, compared to 1.3 per
improving net interest margins backed by a shift in portfolio mix towards higher-yielding products would be crucial for the bank to achieve
Federal Bank after spending over two and a half decades at Kotak Mahindra Bank, embarks on a new journey to guide Federal Bank into its next
phase of growth.
Manian holds a degree in electrical engineering from the Indian Institute of Technology (BHU) Varanasi, a postgraduate
degree in financial management from Jamnalal Bajaj Institute of Management Studies, Mumbai, and is a qualified cost and works
accountant.First Published: Sep 23 2024 | 7:50 PMIST
