Karur Vysya Bank · tone and specificity signals across the available quarters.
Language signals
We are pleased to report that our key performance indicators are broadly in line with the guidance shared earlier. This growth has been balanced and broad-based with sustained performance across our three key priorities—growth, profitability, and asset quality.
Though the liquidity in the market is there, it may support us but to the extent what you want as a deposit, it may not work out. We need to get our retail. We will still focus on the retail only.
It is slowly becoming a tight rope walk in the sense that to retain them, talking about the relationship, how long you are there—all these things will work to some extent and they may give an relevance of 0.5% or something like that, and beyond that if the market is coming down, actually others are offering, so it becomes difficult for us.
We have a safety net as far as that is concerned. If at all something balance here and there with the numbers what we have, we will be able to manage. ECL should not majorly hit us for two reasons. One is our SMA numbers are good, more or less not only now, for the last few years four five years three four years.
We have compromised to some extent on the growth of the advances because on the other side when there is an issue as far as deposits is concerned, you cannot be so liberal in the pricing.
When the rates were at a high level, the delinquency levels are high and absolutely the capital cost is 150%. With these things the LGD is also high... if we have a better avenue for deploying the fund it is better we do that.
We are not getting the suitable premises in few of the locations. To meet our target of branch opening if we say some sort of a second rated premises and go for that we need to live with that for the next 15-20 years. That's why we told saying that we will not compromise on the proper branch premises.