NEW DELHI: Shares of private sector lender YES Bank climbed 2 per cent in early trade on Wednesday after bank partnered with Government of Maharashtra to onboard PDS shops onto electronic PDS initiative through which they can become agents of bank.
Under partnership, YES Bank will empower more than 20,000 ration shops which can offer last mile basic banking services to more than seven lakh beneficiaries.
The bank will cover almost 40 per cent of all PDS shops across locations like Palghar, Thane, Kolhapur, Latur, Pune and others, an ET report suggested.With Wednesday's gains, stock broke its losing streak of last four consecutive sessions.Around 9:55 am, scrip was 1.80 per cent up at Rs 195.55 on BSE.
The bank is set to announce its December quarter numbers on Thursday.
Brokerage Kotak Institutional Equities expects continued pressure on net interest margin (NIM) of bank.
The loan growth of bank may decelerate to nearly 30 per cent from nearly 60 per cent as bank is in a stage of transition, brokerage said.
The key monitorable would be funding profile and progress in deposits mobilization.