These assets comprising mortgage loans and microfinance credit etc have been acquired through the direct assignment route. They would be part of the loans book, unlike securitization where banks
invest in the pass through certificates for underlying loans.
got an opportunity to expand its loan book by purchasing good quality portfolio assets at attractive rates.
The yield on loan portfolio ranges between 8.75 per cent to 10.5 per cent depending on the profile of the asset pool and competition, SBI
The loan purchase was for expanding the book but not at the cost of the growing balance sheet organically through branch network, SBI chairman Rajnish Kumar had said.
The credit to deposit ratio of SBI stood at around 68.67 per cent at end of December 2018. Gross Advances at the Whole Bank level registered a growth of 11.99 per cent from Rs 19.24 trillion as on December 2017 to Rs 21.55 trillion as on December 2018.
Bank deposits increased 6.76 per cent from Rs 26.51 trillion in December 2017 to Rs 28.30 trillion in December 2018.