CSB Bank Shifts Focus: Gold Loans Pave Way for Diversified Growth Strategy

• CSB Bank relies on gold loans (51% of portfolio, 46% YOY growth) but plans strategic diversification into SME, wholesale, and retail segments.
• CEO Pralay Mondal states gold loans are a "tactical play," while building a balanced loan book is the "strategic play."
• Bank completed major tech transformation, enabling new product launches and scaling operations, with non-gold segments showing traction.
• Despite rapid gold loan growth, CSB Bank maintains strict risk parameters, with LTV below 60% and reduced tenors.
• New focus on gold-backed working capital loans for SMEs, targeting larger ticket sizes (₹3-4 lakhs average).

Why It Matters: CSB Bank leverages strong gold loan performance to fund strategic diversification and tech-driven expansion.