The chief executive officer of the Druk Punjab National Bank (DPNB), Mr. N. K. Arora, talks to our reporter, Phuntsho Wangdi, and outlines the objectives and aspirations of the recently opened first private bank in the country and highlights how it is going to be different from the two other commercial banks in the country.
Q. How is the immediate response from the customers?
We are receiving quite good response from customers. In first two days we have opened more than 400 accounts with deposits exceeding Nu 50m and have sanctioned loans of above Nu 100m.
Q. How will DPNB support the private sector?
Of course we are here to support the private sector. We have facilities of meeting all types of requirements of the private sector. Our schemes are not just fixed one, but we provide solutions to all kinds of needs of the customers.
Q. What are the difficulties and Challenges that DPNB might face in the near future?
We do not foresee any difficulties but yes there are challenges before us to compete with the existing two banks specially financing of big borrower accounts in view of our initial capital of Nu 300m against the approximate net worth of Nu 1,400-1,500m of the existing banks.
Q. How will DPNB influence the banking sector in the country?
Our lending decisions will not merely depend on the value of the collateral security but on the creditworthiness of the customers and the viability of the projects. The better rated borrowers will be rewarded by giving them concessions in the rates of interest and the service charges.
Q. How is the DNPB different from the two other commercial banks in Bhutan apart from being a private joint venture bank?
As mentioned above, besides providing all type of services which the existing banks are providing, we shall meet with all types of requirements of the business community for the growth of their business. That is why we name ourselves as “your partner in growth.”
Q. What are the immediate future plans?
We have already started process to open branches at Phuentsholing and Wangdue and more centers will be identified in near future. We will be launching our ATM card under tie up arrangement with PNB in the next couple of weeks and next will be our international debit card under tie up with Master Card. Once our international debit cards are launched, our ATMs here will accept all Debit/Credit cards with Master-Card/Maestro/Cirus logo of tourist for payments.
We also want that no meritorious student should be deprived of higher education for want of funds. So we have schemes to grant loans up to Nu 40,00,00 for pursuing higher education to students without any collateral security.
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Dear Sir,
Private sector has to shoulder responsibilities of developmentin modern times. Private sector is gaining significance even in communist countries also. I am connected with the Education sector. I keep visiting Bhutan. I can see that there are many up coming schools in Private sector. It is a good sign.According to my thinking people are actively involved in the development of Bhutan.
I remain a well wisher of Bhutan.
AK SAXENA
INDIA
P.S. Iam not a regular readerof Buisness bhutan as I dont getit easily in India.