Mahila Bank to Get More Capital if Needed, says PC

OUR BUREAU | AGENCIES NEW DELHI

Finance minister P Chidambaram on Wednesday assured India’s first all-women bank, Bharatiya Mahila Bank (BMB), of full capitalisation support. “If they (BMB) want (more capital)...I can make promise both on my behalf and on behalf of my successor,” he told reporters after the bank’s board meeting here on Wednesday. When asked who his successor could be (in the new government), the finance minister said, “I could be my own successor.” Chidambaram exuded confidence that the first allwomen bank will play a key role in promoting financial inclusion and improving the status of women in the country. Government has already provided . 1,000 crore seed money to the bank, which started operations in November last year. The bank with 23 branches has opened about 17,000 accounts having deposits of about . 87 crore. Chidambaram said the work of the bank has, so far, been satisfactory and asked Bharatiya Mahila Bank to harness technology and innovation for expanding its reach. The bank plans to open 57 new branches in the current fiscal, he said. “I have no doubt they will achieve their target...they have now found place both in Jammu and Srinagar. Branches will be opened there,” he said. Referring to education loans, he said the bank offers concessional loans to girl students that is 1% less than the prevailing interest rate. The bank is in the process of tying up with a large number of educational institutions to encourage girl students to take up higher education. Meanwhile, the bank launched a recurring deposit scheme for girls, from day one to 13 years of age. It may be noted that the RBI has allowed a 10-year child to open an account.

Finance minister P Chidambaram and Bharatiya Mahila Bank CMD Usha Ananthasubramanian during a press conference at the bank’s corporate office in New Delhi, on Wednesday 

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