Public sector lender, Indian Bank has aimed at posting a 25% growth in net profits for this fiscal. The bank expects to do so by increasing its lending to corporates, and small and medium enterprises.

The bank expects its total business to cross Rs. 1.8 lakh crore  in a year from now.

"We expect to maintain profit growth this year and during the current fiscal we are aiming net to grow by 25 per cent," Indian Bank Chairman T M Bhasin said.

He said that the increased lending to agricultural sector, SME, infrastructure and corporate sector would help the bank in widening its bottomline.

The bank reported a 24.87% rise in net profits for the entire tenor of last fiscal amounting to Rs. 1,544.99 crore against Rs 1,245.32 crore in the previous year.

"We expect the total business to touch Rs 1.85 lakh crore by the end of March 2011, and increase it to Rs 2.25 lakh crore by the end of FY'12," Bhasin said.

The bank has plans to expand globally. It already has branches in Colombo and Singapore.

"We are planning to reopen our branch in Jaffna within the next six months," he said.

The bank also has plans to open up 190 branches in the country this year and come up with another 210 branches in the upcoming fiscal.

"We will be focusing in Northern and Western parts of the country to expand our footprints. We will rationalise the branches to reach out the rural and semi-urban customers. We will be opening around 40 branches in the Delhi-NCR region," Bhasin added.

The bank has a current Tier I capital of 11.13% and Bhasin said that the bank has scope to raise more funds.

"There is enough headroom available for raising Tier II capital. As on date we do not need funds. We will weigh options to tap the market and will do so when there is an opportunity," Bhasin said.