In its 2QFY2016 results, Canara Bank reported a decline in PAT by 15.6% yoy, mainly due to higher provisions and surge in operating expenses. Loan book grows at a slow pace; NIM rises qoq During 2QFY2016, the banks loan book grew by 3.9% yoy with retail loan book growing at a faster pace at 14.3% yoy. The C-D ratio came down to 66.6% from 67.4% in 2QFY2015. Deposits growth was muted at 5.2% yoy with CASA deposits showing momentum, which grew by 11.5% yoy. As a result, the domestic CASA ratio for the bank rose by 178bp yoy to 25.5% as of 2QFY2016. The Reported Global NIM rose sequentially from 2.21% in 1QFY2016 to 2.24% in the current quarter which aided NII growth of 11.8% for the quarter. The Management expects to reach 2.35% NIM by the end of this fiscal year. During 2QFY2016, the non-interest income (excluding treasury) was subdued with a yoy growth of 4.4% yoy largely aided by recoveries from written off accounts. Treasury income, at Rs295cr, more than doubled for the quarter on a yoy basis (Rs144cr in 2QFY2015). On the asset quality front, slippages came at Rs2,202cr (annualized slippage rate of 2.7% as compared to...