Karur Vysya plans mobile banking

Karur Vysya Bank on Friday said it would introduce mobile banking by October end.

The modalities for this concept were being worked out and all the customers would be able to operate their account through their mobile, once this was introduced, Karur Vysya Bank, chairman, P T Kuppuswamy, told reporters in Coimbatore.

The bank was targeting to reach deposits of Rs 8,000 crore (Rs 80 billion) and advances of Rs 5,500 crore (Rs 55 billion) by the end of this fiscal, he said, adding the strategy to mobilise low cost deposits and focus on retail financial would help the bank in maintaining a robust net interest margin.

For the quarter ended June 2005, the bank has posted a net profit of Rs 37.62 crore (Rs 376 million), recording a 10 per cent increase over the same period last year, he said.

Kuppuswamy, who was in Coimbatore to launch the bank's co-branded insurance product 'KVB Suraksha' with Bajaj Allianz General Insurance Co, said the bank has posted a profit of Rs 105.34 crore (Rs 1.05 billion) and has disbursed 100 per cent dividend for the second year in succession.

KVB has achieved 100 per cent computerisation, Kuppuswamy said, adding 97 per cent of the bank's business has been brought under core banking solution, giving the customers anywhere banking convenience.