Public sector, Central Bank of India (CBI) plans to take moves to augment its retail loans in the east zone so as to improve its credit deposit (CD) ratio in the region.

The east zone comprise of West Bengal, Sikkim and Orissa. Presently the CD ratio for this region stands at 40%. Until December, CBI had recorded a deposit base of Rs 10,242 crore and extended loans of about Rs 4,016 crore in the zone. Out the total advances, retail advances were of nearly Rs 600 crore. CBI's General Manager, B N S Ratnakar said that the bank targets to lend another Rs 100 crore under retail loans by the end of the current fiscal.

In order to enhance retail lending, the bank plans to convert 10 of its branches in the region to retail loan centers that will extend loans including home loan, education loan, vehicle loan and others. At the same the CBI will also give loans to purchase auto rickshaws for which it has aimed a target of Rs 90 lakh until the end of the financial year.

The bank also looks forward to improve its CD ratio from 40% to 50% by the end of the next fiscal. As per the current fiscal, it plans to raise deposits worth Rs 10,921 crore and extend loans to the tune of Rs 4,350 crore.

CBI also plans to start 20 new branches in the east zone in one year's time. Currently the bank has 350 branches spread across the eastern region of the country.

Moreover it is also going to take steps that would help in mobilizing the current account and saving account (CASA) deposits of the bank. Currently the CASA stand at Rs 3,600 crore.

CBI's Salt Lake branch in Kolkata is going to give home loans for the purpose of home decor, buying jewellery, national and international travels.

The bank is also likely to reduce its prime lending rate (PLR) by 25 to 50 basis points. Presently CBI has a PLR of 12.5%. However a final decision regarding the issue will come after the assessment of its cost of funds.