Owing to higher debt provisioning, the Punjab National Bank (PNB) on Friday posted a 2.4 per cent growth in its net profit at Rs 1,275 crore during the first quarter of the ongoing fiscal, though the total income of the bank rose to Rs 11,747 crore as against Rs 11,722 crore during the corresponding period.
The bank had a net profit of Rs 1,246 crore during the April-June quarter of the previous fiscal.
PNB Chairman and Managing Director K R Kamath while addressing a press conference said that the bank has “approached the Government and sought Rs 1,500 crore in the current fiscal”.
Government currently holds 58 per cent in the bank and with the fresh capital infusion, its shareholding will go up further. In the last fiscal, the bank got Rs 1,250 crore through preferential issue of shares to the Government.
Centre has already announced that the public sector banks will get Rs 14,000 crore additional capital from it during the current fiscal.
Meanwhile when asked whether the bank would further lower its base rate, Kamath ruled out in any such plans.
“We are watching the market,” he said. On deposit rate hike, Kamath said that there is no such intention as liquidity is at a comfortable level currently.