Bank of India to launch digital lending platform

Bank of India plans to put in place a mobile-based lending platform to grow its RAM (retail, agriculture and micro, small & medium enterprises) portfolio from about 54% of total domestic loans to 65 % in two years.

The bank is developing a tech-stack for enhancing its digital banking presence, according to PR Rajagopal, Executive Director.

Referring to many banks having more than 60 % of total domestic advances in the RAM segment, he observed that digital lending will help re-balance BoI’s portfolio composition towards RAM advances.

“Our RAM portfolio is hovering around 54 %. So, we need a very strong digital push to grow this portfolio.

“We will launch a super app by the second quarter of FY23.  Vendors have been on-boarded to build the app,” Rajagopal said.

The app will ensure that the public sector bank can digitise loan sourcing, give in-principle sanctions to customers, and cross-sell non-banking financial services products.