United Bank of India (UBI) would raise capital from various avenues to meet credit requirements for the next three to five years.
"More capital is needed to sustain growth. The credit offtake is expected to be more than 22 per cent for which more capital is required," chairman and managing director of UBI Bhaskar Sen said at the bank's first AGM here today.
UBI entered the capital market with an IPO and raised around Rs 300 crore. Sen said that capital would be raised either by issuing Tier I or Tier II bonds.
"We may also seek money from the government as well," he said.
Sen said that the bank had fixed the base rate at 8.25 per cent. He added that the bank had also fixed the upper limit, at 14.25 points beyond which it could not charge more interest.
He said that the bank would install 500 ATMs this financial year and open more branches in the southern, western and northern parts of the country.
