Mumbai: State-owned lender IDBI Bank Tuesday said it is partnering with consulting firm Boston Consulting Group (BCG) to turn around its business under an initiative called Project Nishchay.

IDBI Bank posted a net loss of Rs853 crore in the June quarter. As on 30 June, its gross non-performing assets (NPAs) were 24.11% of its gross assets, the highest for any lender in the country.

“BCG will assist us to identify areas for cost containment and revenue maximization leading to sustainable growth and profitability of the bank. With the support from our consulting partner, we hope to identify and address existing gaps, capitalize on core strengths and improve existing products and processes," Mahesh Kumar Jain, managing director and chief executive at IDBI Bank said.

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The programme will focus on areas like revenue enhancement, cost control and reduction and asset productivity among others. Senior IDBI Bank officials will lead the turnaround along with BCG.

In May, the bank stated that it will restrict its growth in corporate loan segment and increase its focus on retail and priority sector loans. The lender had also said that it will strengthen its capital base by selling non-core assets.

The bank has already made a partial exit from Small Industries Development Bank of India (Sidbi). On Monday, it sold 1% stake in Sidbi. IDBI Bank is the second largest shareholder in Sidbi after State Bank of India. As on 28 August, IDBI bank held 16.25 % stake in Sidbi.