Summary:
Ujjivan Small Finance Bank (Ujjivan SFB) plans to raise up to ₹2,000 crore through QIP over the next two years to strengthen its balance sheet and fuel growth. With ambitions to scale its gross loan book (GLB) to ₹1 lakh crore by FY2030, the bank is sharpening focus on secured lending, branch expansion, and profitability.
Fundraising to Support Growth
Managing Director & CEO Sanjeev Nautiyal announced that Ujjivan SFB will look to mobilize up to ₹2,000 crore via a Qualified Institutional Placement (QIP) in the next 18–24 months. The capital infusion is expected to support the bank’s long-term strategic roadmap.
Banking License Progress
The bank has also applied for a universal banking license, which is currently under review by the RBI after multiple rounds of queries and clarifications.
Ambitious 2030 Roadmap
Ujjivan SFB has set a bold target of achieving a ₹1 lakh crore gross loan book by FY30. Since its transformation into a small finance bank in 2017, Ujjivan has grown its GLB from ₹7,560 crore in FY17 to ₹33,287 crore in Q1FY26.
Key priorities include:
- Expanding the branch network from 752 to ~1,150.
- Increasing the secured loan share to 65–70%.
- Growing CASA deposits to 35%.
- Doubling branch productivity.
- Driving 20–25% annual GLB growth, targeting RoE of 16–18% and RoA of 1.8–2.0% by FY30.
Strong Capital Base
As of Q1 FY26, Ujjivan reported a healthy CRAR of 22.8% and Tier I capital at 21.2%. The bank’s shift towards secured lending has boosted capital efficiency, providing enough cushion to grow even without immediate external funding.
Management’s Outlook
Nautiyal emphasized that Ujjivan’s strategy builds on a solid foundation, with a diverse customer base of 97 lakh+ across 26 states and UTs. The bank intends to continue focusing on Mass, Aspiring, and Emerging Affluent segments, aligning growth with India’s expanding financial landscape.
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