New Delhi: Country`s largest private sector
lender ICICI Bank on Tuesday said it will have to rehabilitate some
more loans in the next few quarters.
"I must recognise the fact that going forward, in the
next two quarters, we will still have some more loans to be
restructured," ICICI Bank CEO and Managing Director Chanda
Kochhar told private news channel in an interview.
During April-June quarter, the bank added new
restructured loans to the extent of Rs 1,500 crore, she said.
But the bank also have the past restructured loans
which actually got upgraded to the extent of Rs 3,500 crore, she
said, adding "so in a way during, this quarter we actually
saw reduction in the restructured loans net-net to the extent
of Rs 2,000 crore."
The total restructured portfolio therefore is very small.
As of now it is currently just about Rs 3,000 crore, she
Giving details of loan restructuring, Kochhar said,
"this has come across various industries and these are actually most
of them are larger cases, very few smaller cases because we do
not have in our portfolio many of the small cases so there are
some medium enterprises."
A large part of them are large enterprises and industry
wise there is no specific industry concentration, she said,
adding, these are spread across various industries.
"But broadly I am very confident that these cases that
we are restructuring are indeed those cases that have some
interim problems. Over a period I only expect them to come up
and start becoming performing assets," Kocchar said.
On capital raising plan, she said, the bank don`t need
to raise equity capital at all because the capital adequacy is
almost 17.5 per cent.
Of the total, the tier I capital adequacy is more than
13 per cent. Therefore, the bank is very adequately
capitalised, she added.
Speaking about credit expansion, she said, "I actually
believe that credit growth will be pretty strong in the second
half of this year. I think the demand on the mortgages will
come back sooner than what we are expecting and gradually then
the demand on the project and infrastructure loans will also
ICICI Bank will also grow portfolios of mortgages, car
loans, infrastructure projects, the other project loans and
the corporate finance, she added.