Bandhan Bank targets higher secured loan mix by FY27 amid microfinance recovery

• Bandhan Bank observes recovery in its microfinance sector, with improved asset quality and collection efficiency.
• The bank aims for a higher proportion of secured loans by FY227, with the secured portfolio already at 57% of total loans.
• Credit costs are projected to reduce to 1.6–1.7% by end of FY27, supported by a greater mix of secured loans and better microfinance performance.
• Net interest margins (NIMs) show sequential improvement, with further gains expected as higher-cost deposits mature.
• Bandhan Bank targets 15–17% CAGR loan growth, with secured lending above 20% and microfinance returning to positive growth.