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Government may consider infusing capital into United Bank of India

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Reuters MUMBAI
Last Updated : Feb 12 2014 | 3:53 PM IST

MUMBAI (Reuters) - India may consider infusing capital into stressed state-run lender United Bank of India (UBI) , local television channels reported on Wednesday citing banking secretary Rajiv Takru.

There is no systemic risk to Indian banks from Kolkata-based UBI, he was quoted as saying by the channels.

Last week, UBI said its net loss in the October-December quarter widened to 12.4 billion rupees from nearly 5 billion in the preceding quarter.

On Tuesday, ratings agency Fitch said UBI was at risk of becoming the first lender in Asia to breach the minimal capital ratios mandated by Basel III norms after the small lender posted a net loss and said bad debts increased.

(Reporting by Swati Pandey; Editing by Subhranshu Sahu)

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First Published: Feb 12 2014 | 3:33 PM IST

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