Mon May 26 15:53:09 UTC 2025: Okay, here’s a news article summarizing the Indian Bank’s outlook, based on the provided text:

**Indian Bank Confident in Double-Digit Credit Growth Despite Industry Concerns**

**CHENNAI, May 26, 2025** – Despite industry-wide worries about a slowdown in credit growth, Chennai-based Indian Bank remains optimistic about achieving its target of 10-12% credit growth for the financial year 2026. This confidence stems from a positive macro environment, anticipated policy rate cuts by the Reserve Bank of India (RBI), and strong demand in the retail and MSME sectors, according to Managing Director & CEO Binod Kumar in a recent interview.

The bank saw significant growth in its Retail and MSME portfolios last year, increasing by 14% and 12% respectively, and aims to maintain this momentum. Indian Bank is focusing on home loans, cluster-based MSME lending, and supply chain financing. On the corporate front, the bank is targeting key sectors like data centers, chemicals, engineering, electric vehicles, oil & gas, and renewable energy.

Mr. Kumar noted a shift in corporate borrowing, with demand primarily focused on brownfield expansions rather than new greenfield projects. He also mentioned companies are relying on internal funds and conservative borrowing practices.

Anticipated interest rate cuts by the RBI are expected to spur increased credit demand, particularly in the retail sector, including home loans.

While Current Account and Savings Account (CASA) deposits remain a concern for the banking industry, Indian Bank maintained a CASA ratio above 40% in the last financial year. The bank is expanding its Resource Acquisition Centres (RACs) and introducing new deposit products like green deposits and floating-rate FDs to attract a diverse customer base.

Regarding the Supreme Court’s verdict on Bhushan Power and Steel (BPSL), Indian Bank is adopting a wait-and-see approach, working with the Committee of Creditors to protect its interests. The bank had recovered ₹1,265.87 crore of its ₹2,618.34 crore exposure in BPSL via resolution plan.

Mr. Kumar also acknowledged the positive impact of the RBI’s recent liquidity measures.

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