PNB targets 58% of loan book from RAM segment in FY26 to offset rate-linked margin pressure

Punjab National Bank (PNB), a major public sector bank in India, has outlined its strategic target of increasing the proportion of its Retail, Agriculture, and Micro, Small, and Medium Enterprises (RAM) loans to 58% of its total loan portfolio by the end of the fiscal year 2026. This strategic shift is primarily aimed at mitigating the ongoing pressures on the bank's net interest margins. By increasing its focus on the RAM sectors, PNB intends to reduce its exposure to the more volatile segment of corporate lending and achieve a more stable and diversified loan book.