The prevailing high interest rate regime might affect ICICI Bank's rate of business growth, but its strong corporate portfolio would help ensure a 15-16-per cent overall credit growth, a top bank official said.
"The corporate pipeline is still strong, which will lead growth. We expect to maintain a 15-16 per cent year-on-year credit growth," ICICI Bank's Joint Managing Director Chanda Kochhar told reporters in Mumbai on Tuesday.
Despite challenging market conditions, the bank's retail loan portfolio is expected to grow 5-10 per cent in FY 09, she said.
On ICICI Bank's microfinance portfolio, she said that the bank has covered more than 3-million customers under this portfolio.
Asked about any possible softening in interest rates, Kochhar said, "It is too early to talk about softening of interest rates."
The Reserve Bank of India is adopting a tight monetary policy with a view to bring down inflation to 7 per cent by March 2009.
"We must understand that there are challenges and opportunities (in the economy). Clearly, policy measures are used as tools to manage the challenges. The RBI has projected that inflation would be brought down by March," Kochhar said.