Speech of MD Sri K.K. Pathak (IAS) On Year 2004
Terrific Turnaround of Bihar
State Co-operative Bank
Established in 1914 the Bihar
state co-operative bank has been lending its resources mainly
in the agricultural sector .The CD ratio of the bank has been
as high as 80:20.The bankers been running in profit though it
had to face rough weather for some time. In the year 2003-2004
the bank made a traffic turnaround and posted a record profit
of Rs 114 crore. It wiped out the entire previous losses. The
Bank again registered a netprofit of Rs. 43 crore in the half
year ending September 30,2004. All this was made possible by the
bank's present MD K K Pathak who adopted a well designed strategy
to achieve what was once unthinkable.The bank's work culture truly
reflects corporate culture. All its 14 branches have been computerized.
The bank's ATMs are on cards. So is anywhere Banking Facility.
The bank currently adopted one time settlement scheme and 10%
Cash Incentive Scheme for loanee and loan collecting agencies
in agricultural sector. The bank's Daily Deposit Scheme has been
very popular in Patna and the bank is contemplating extending
this scheme to other parts of the state. The bank pays higher
interest rate to its depositors in commercial bank besides giving
loans against the deposit. Bihar Co-Operative Bank is neighbor's
envy and owner's pride.