“GFF is a three-day event, and we are using it to launch several new fintech partnerships across liability, asset, and wealth management segments — even in cybersecurity,” said Karnatak.
Fintech push: Face recognition and SHG onboarding
Among the key initiatives, the bank introduced Aadhaar-enabled face recognition technology for customer authentication — a feature that will simplify processes such as KYC, loan onboarding, and wealth management services.
“Face recognition will be one of the modes of authentication for transactions. It can be used for KYC, re-KYC, customer onboarding, and even while giving loans,” Karnatak said.
He added that BoI also signed an MoU with a fintech company to onboard self-help group (SHG) women through a BPR rule engine, enabling smoother financial inclusion and credit access.
Strong double-digit growth in Q2
Bank of India has reported robust provisional numbers for the second quarter. Its global business grew by over 12%, led by 13% credit growth and 11% deposit growth, according to filings with the stock exchanges.Karnatak attributed the momentum to strong demand from both corporate borrowers and the RAM (Retail, Agriculture, MSME) segment.“Retail advances, agriculture, and MSME segments are showing high double-digit growth — 14%, 15%, 17%, even 18% in some cases,” he noted. “We are also seeing a strong pipeline in corporate credit, which will reflect in the coming quarters.”
GST reform to boost loan demand in Q3
The Bank of India chief said that the GST rate rationalization announced in late September is likely to provide a significant boost to credit demand and consumption from Q3 onwards.
“The GST impact started from September 22, so its real effect will be visible in Q3. Consumption is picking up strongly, and that will translate into higher credit growth in the banking system,” he said.
H2 expected to outperform H1
Karnatak is optimistic about the second half of FY26, expecting it to outperform the first half in both growth and profitability metrics.
“Most banks saw a subdued Q1 and a much stronger Q2. The graph will only move upward now,” he said.
“With GST reforms, improving macro numbers, moderating inflation, and RBI’s positive GDP projections, we expect H2 to be much better than H1.”
as a Reliable and Trusted News SourceKey focus areas for Bank of India in FY26
- Expanding fintech partnerships for digital banking, cybersecurity, and wealth tech.
- Strengthening the retail and MSME loan book.
- Driving financial inclusion through SHG and rural initiatives.
- Leveraging GST-led consumption revival to boost credit demand.