Punjab National Bank (PNB) is planning to revamp its credit card operations and enhance its digital infrastructure to boost its credit card business. The bank’s Managing Director, Ashok Chandra, stated that the credit card division has been strengthened with the appointment of a General Manager to oversee the business. The bank’s IT infrastructure is also being revamped, which is expected to be in place by November. This will enable the bank to aggressively push its credit card business from November onwards.
Chandra mentioned that the bank’s credit card features are at par with other cards in the market, but the bank’s credit card is not visible in the market. To address this, the bank is planning to enhance its digital infrastructure, including its internet and mobile banking facilities. The PNB One mobile app, which is used by retail and current account customers, will also undergo a facelift. The revamped app will feature artificial intelligence (AI) models and is expected to be launched by the end of September.
In addition to enhancing its digital infrastructure, the bank is also focusing on recovering non-performing assets (NPAs). The bank has identified around 100 NPA accounts, with a book size of around Rs 4,000-5,000 crore, to be sold to Asset Reconstruction Companies (ARCs) during the current financial year. The bank expects to recover at least 40-50% of the outstanding amount from the sale of these accounts.
Chandra emphasized that the bank is committed to improving its processes and enhancing customer experience through its digital initiatives. The bank’s efforts to revamp its credit card business and enhance its digital infrastructure are expected to contribute to its overall growth and profitability. With the revamped IT infrastructure in place, the bank is hopeful of making a significant impact in the credit card market by November or December. Overall, PNB’s plans to enhance its digital infrastructure and recover NPAs are expected to have a positive impact on the bank’s financial performance.