Page 5 - Banking Finance May 2024

BANK UPDATE

Banking

Bandhan Bank CEO Kavaratti Island in Lakshadweep, mak- the shareholders of Fincare SFB re-
ing it the only private sector bank to ceived 579 equity shares in AU SFB for
Chandra Shekhar Ghosh have a branch in the Union Territory. every 2,000 equity shares held in

to retire in July This branch is aimed at upgrading the Fincare SFB, the merger received final
Bandhan Bank Managing Director and banking infrastructure in the Union approval from RBI on March 4, 2024,
Chief Executive Officer (MD & CEO) Territory by offering a wide range of with the effective date of April 1, 2024.
Chandra Shekhar Ghosh would retire services with a focus on personal bank- The merger is also expected to provide
after the completion of his current ing, and digital banking which also in- AU SFB with enhanced access to South
tenure on July 9, the lender said in a cludes customised digital solutions in- India, significantly expanding its distri-
regulatory filing. cluding QR-based transaction to retail- bution network, the Jaipur-based
Ghosh has led the bank since July 10, ers. lender said in a statement.
2015. Upon his retirement, he will play HDFC Bank has branches in the cold
a strategic role at the holding com- climes of Kashmir, the southern tip of SIDBI joins tech platform
pany level, Bandhan Financial Services Kanyakumari and now the island of KarmaLife to offer micro
Ltd (BFSL), which owns 40 per cent in Lakshadweep - a prominent tourist
the lender and has stakes in life insur- place. loans for gig workers
ance and mutual fund ventures. SIDBI has entered into an agreement
"This reaffirms our commitment to
with a fintech Onion Life Private Lim-
The screening and selection commit- serving customers wherever they in an
tee of the board will start the process extremely convenient fashion," said S ited to use the latter's technology plat-
of selecting the probable candidates Sampathkumar, Group Head- Retail form, KarmaLife, for a pilot to provide
and recommend to the Reserve Bank Branch Banking, HDFC Bank. micro loans to gig workers. This is ex-
of India (RBI) for approval, sources pected to support the gig workers' in-
said. According to norms, a bank has Fincare merges with AU clusion to formal institutional credit.
to send at least two candidates in the KarmaLife will help gig workers access
order of preference for approval. Small Finance Bank micro loans through a mobile app and
AU Small Finance Bank (AU SFB) amal- eliminates the hassle of extensive pa-
HDFC bank 1st private gamated Fincare Small Finance Bank perwork or physical documentation.
(Fincare SFB), marking the first such
bank with branch in consolidation in the sector. This streamlined process will make it
easier for gig workers to manage the
Lakshadweep In an all-stock merger deal first an- liquidity needs of their enterprise ac-
HDFC Bank opened a branch at nounced on October 29, 2023, where tivities.

BANKING FINANCE | MAY | 2024 | 5