Kolkata, Oct 22 (IANS) City-based public sector bank Allahabad Bank posted a net profit of Rs.333.59 crore for the quarter ended Sep 30, 2009, a growth of 700 percent from Rs.41.68 crore recorded in the corresponding period last fiscal (2008-09), a top bank official said here Thursday.
“The net profit growth happened due to core banking activities of the bank,” K.R. Kamath, chairman cum managing director of the bank told reporters during a press meet.

He said the total business of the bank stood at Rs.148,103 crore on Sep 30 as against Rs.125,363 crore in the previous year showing a year-on-year growth of 18.14 percent.

At present, the capital adequacy ratio of the bank is at 14.90 percent.

Asked about the net interest margin (NIM), Kamath said it is 2.84 percent for the second quarter (July-September) and that he is hopeful of attaining an NIM of 2.88 percent this fiscal (2009-10).

Talking about advance growth rate, Kamath said the bank is maintaining the growth rate at 18 percent as projected by it earlier.

He ruled out any scope of alteration in the interest rates in the foreseeable future saying: “Interest rate regime is stable and I am hopeful it will remain stable till March-end.”

However, Kamath said if liquidity puts pressure in the system, then he may think of “fine tuning” deposit rates by 25 basis points.