Bajaj Finance Expects 20-25% Of Its Borrowing To Come From Retail Deposit

Bajaj Finance Ltd has reported a significant growth in their fixed deposit in the first quarter of current financial year 2017-18 (April-June, 2017), informed the company in an official statement released on Friday (25 August).

Deposit witnessed a rise of 74 per cent to Rs 5,095 crore during Q1FY18. The company intends to take this to 20-25 per cent levels in the next 4-5 years.

Currently, Bajaj Finance retail deposit constitutes of around 10 per cent of overall borrowing and in the coming years, this number is expected to rise significantly. The company expects that in the next five years the 20-25 per cent of Bajaj Finance borrowing is expected to come from the retail deposit.

The Indian fixed deposits market is estimated to be Rs 110, 00,000 crore of which the corporates fixed deposits is approximately 50 per cent.

Bajaj Finance will continue to leverage its better operational efficiencies to offer fixed deposits which are one of the safest investments at one of the best interest rates in the country, the company said.