Punjab National Bank (PNB) has announced plans to increase its RAM (Retail, Agriculture, and MSME) lending to 58% of its total loan book in the current financial year, up from 56% recorded at the end of FY25, where outstanding RAM loans stood at ₹6,02,682 crore.
Speaking to the media, PNB MD and CEO Ashok Chandra said the expansion will help cushion the bank against income loss caused by falling interest rates in the corporate and repo-linked loan segments. “The volume increase in RAM will help compensate for a loss due to further rate cuts,” he noted.
Chandra highlighted that PNB’s nationwide outreach campaigns in February significantly boosted RAM disbursements, with March witnessing a 1.5x increase over the monthly average. These initiatives will continue through FY26.
To accelerate retail growth, the bank is also pursuing tie-ups with housing projects across India. Once a project is approved, applicants can receive home loan sanctions within 48–72 hours without needing separate legal or valuation checks—substantially cutting processing time.
The focus on RAM lending is part of PNB’s broader strategy to strengthen its loan portfolio and maintain profitability amid a shifting interest rate environment.
About Punjab National Bank
Punjab National Bank, headquartered in New Delhi, was founded in May 1894. It serves over 180 million customers through more than 12,248 branches and 13,000+ ATMs across India. It is the second largest public sector bank in India in terms of its business volume.
