Could you give us a rundown of Canara Bank’s quarterly numbers and highlight the metrics? What factors are at play here?
If you see the fears, especially regarding the income side, our net interest income has grown by 40% YoY. Now it is about Rs 15,000 crores. Then fee-based income again year-on-year the growth is about 19% and operating profit, you see, is at record high – Rs 20,009 crore. So, as far as income is concerned, it is very robust. As far as business growth is concerned, again in CASA we have done well. We have grown at 14%. Retail term deposits we have grown 16%. Bulk deposits we have reduced by 2% and retail credit has shown good traction. It has grown at 12% and housing has grown at 15%.
Regarding slippages in Q2, Q3 because of the Supreme Court’s direction, we have not allowed the accounts to slip. In Q4 FY21, all the three quarters NPAs which were identified have been classified and the year as a whole the total fresh slippages were to the tune of about Rs 15,287 crores in March 2021, including what you call the slippages under existing NPAs and total is about Rs 16,600 crores, which is less than last year in spite of the pandemic issue. We could comfortably maintain Gross NPA at 3.93% and net 8.93%, and net NPA we have maintained less than 4%; that is about 3.82%. Even our slippage ratio we could manage at 2.35% and credit cost is 2.09%.
Overall, taking into consideration the present pandemic situation, the balance sheet is very strong. Regarding collection efficiency in March, it was about 92% and in April we studied the collection efficiency – it was about 88.8%. There is a dip of 2% to 3% and yes, there is an impact of the second wave of COVID. However, if you see our results, in spite of the impact they were very good because every quarter we tried to make our balance sheets strong, in the sense provision coverage ratio as on March 2020 was around 76.95%, which now stands at 79.68. We would like to maintain this ratio around 80%.
Taking into consideration the COVID situation for Q1 of financial year 2022 we have already made Rs 500 crore floating provision, so that in let’s say Q1, wherever and whenever there is a requirement for provisioning, this Rs 500 crores will take care. Apart from this, we have already made about Rs 494 crore of provision for the OTR accounts, which is still there to be utilised and to take care of the future provisions under fraud accounts, especially frauds which we declared in Q2 of financial year 2021. And in the Q3 of financial year 2021 this quarter we have made an additional provision of about Rs 670 crores. So, as far as provisioning is concerned for the coming quarter, we have created some buffer.