How does Kotak Bank play to foray into healthcare lending?

While Kotak Bank is already active in overall healthcare finance, it has announced a more focused plan to get into healthcare lending. To begin with, the average ticket size for such loans will be Rs.15 crore and the bank will target to onboard 100 customers per month. Once the systems are in place, they plan to scale it up to 500 customers per month. This will essentially be a more focused segment under healthcare finance overall.

However, Kotak Bank has confirmed that it does not plan to avail the RBI on-tap liquidity window for this purpose as its own cost of funds are already very low. Kotak will offer secured and unsecured loans for healthcare finance. Loan tenure will typically vary between 12 months to 84 months. The maximum loan to value or LTV ratio will be 85% maximum.