Suryoday Small Finance Bank Revises FD Rates To Offer Up To 9.25% Returns

With effect from March 1st, 2024, Suryoday Small Finance Bank (SSFB) has modified its fixed deposit interest rates. Interest rates were adjusted by 41 basis points (bps) for a 25-month tenor. After the modification, the bank has begun accepting deposits of less than Rs 2 crore with maturities ranging from 7 days to 10 years and offering interest rates to the general public of 4.00 per cent to 9.01 per cent and to senior citizens of 4.50 per cent to 9.25 per cent. The best part is that elderly citizens are eligible for the highest possible return of a 9.25 per cent interest rate on a 25-month deposit, while regular customers can now get 9.01 per cent.

For customers with savings accounts in the Rs. 5 crore to Rs. 25 crore band, the bank is now providing interest rates as high as 7.75 percent. Making an investment choice promptly can help you achieve your five-year mid-term goals. This is the highest interest rate the bank gives to its customers, and your deposits are backed by DICGC in this bank.

With effect from the close of business hours on March 15, 2024, one of the senior management personnel of Suryoday Small Finance Bank Limited, Mr. Vishal Singh, has tendered his resignation from the position of Chief Information Officer of the Bank via letter dated February 16, 2024, citing personal reasons. The bank's Board of Directors approved the date of Mr. Vishal Singh's resignation from his position on February 21, 2024, effective at the end of business hours on March 15, 2024.

Suryoday Small Finance Bank has declared its un-audited financial results for the quarter and nine months ended 31st December 2023 post which Mr. Baskar Babu, MD & CEO, Suryoday Small Finance Bank, said "Our performance in the first nine months of FY24 highlights our commitment of consistent growth and improved profitability. Gross Advances witnessed a 40.5% to Rs 7,600 crore in 9M FY24 against the corresponding period last year. The growth is led by an overall performance demonstrated by the bank coupled with sustained momentum in the microfinance sector. Vikas Loan product continues to gain traction with AUM crossing Rs 2,000 crore. The disbursement for the bank increased from Rs 3,396 crore in 9M FY23 to Rs 4,580 crore in 9M FY24: a growth of 34.9% on a YoY basis. The disbursement growth is led by all products especially Vikas Loan which grew 97% YoY."

"The overall deposits increased from Rs 4,697 crore in 9M FY23 to Rs 6,484 in 9M FY24. We always focused on building a granular retail deposit book, the retail deposits including CASA as a % of overall deposits stood at 82.5% in 9M FY24 versus 77.9% during 9M FY23. Mobilization of low-cost CASA has resulted in stable cost of funds and improved deposit mix. In terms of asset quality, the GNPA stood at 2.9% at the end of 9M FY24, down from 4.2% in 9M FY23. Net NPA was 1.4% in 9M FY24 compared to 2.7% in 9M FY23. Overall Collection efficiency in the month of December 2023 was 100.1%. We continue to focus on growth and maintaining asset quality. Furthermore, the bank will continue to build floating provision and CGFMU cover to mitigate any unforeseen risks," he said.

"On the profitability front, the bank's net interest income grew by 28.9% to Rs 691.5 crore during the first nine months of the fiscal year versus same period last year. The bank has demonstrated improvement across all key metrics along with stabilization in cost to income which has led to higher pre provisioning operating profit. As stated earlier, we have delivered quarterly PPOP of Rs 127.2 crore (excluding CGFMU expenses) and Rs 114.2 (including CGFMU expenses) for the quarter ended December 31, 2023 and we endeavour to continue to deliver on PPOP targets going forward. The bottom-line saw a remarkable improvement from Rs 38.8 crore in 9M FY23 to Rs 155.1 crore in 9M FY24," Baskar Babu further added.