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.