Yes Bank plans expansion

Completing six years of operations in March 2010, new generation private sector bank Yes Bank has drawn up a five-year plan, called Version II, which will see a big push into retail banking operations.

Rana Kapoor, founder, managing director and CEO, Yes Bank, Rana Kapoor says the bank will roll out the entire suite of retail asset products like educational loans, secured personal loans and of course, credit cards, by 2012. Retail broking and mutual funds are the other areas on the radar.

The bank is looking at a five-fold rise in its balance sheet to Rs150,000 crore and becoming a mid-size bank by 2015.

Yes Bank proposes to step up lending to small and medium enterprises (SMEs) in a big way. Kapoor says the SME plan needs a lot of intelligent planning as it can't be a me-too strategy.

The bank proposes to prop up its net interest (NIM) margins. The target is to increase the current account and savings account deposit share from nine per cent to 25 per cent by 2012.

Yes Bank's target is to reach 250 branches by 2010 from its existing 123 branches.

While scripting growth, the top management is clear that the domestic market will be at the centre of operations. Any plans to venture overseas will be driven by the needs of Indian companies which are spreading wings rapidly in international markets.

Yes Bank has also given co-founder status to three top management persons - Rajat Monga, Somak Ghosh and Aditya Sanghi - who have been part of Kapoor's team since the inception of the bank.