 "UCO Bank")
Uco Bank on Friday reported a 20.3 per cent fall in its net profit in the quarter that ended on September 30 to Rs 401.67 crore as compared to Rs 504.52 crore in the same quarter last year. However, as compared to Rs 223.48 crore in the previous quarter, the net profit was up 79.9 per cent.
The bank's gross non-performing assets (NPAs) fell to 4.14 per cent in the quarter as compared to 4.48 per cent in the previous quarter. In the same quarter last year, the gross NPAs stood at 6.58 per cent.
The net NPAs of the bank fell to 1.11 per cent as compared to 1.18 per cent in the previous quarter. In the same quarter last year, the net NPAs were 1.99 per cent.
The bank's operating margin also fell to 16.74 per cent as compared to 23.96 per cent a year ago. In the previous quarter, the margins stood at 20.53 per cent. Moreover, the bank's total interest income jumped 24.7 per cent to Rs 5,218.82 crore in the quarter from Rs 4,184.89 crore a year ago.
The bank also said that considering the likely impact of the coronavirus pandemic, it continues to hold Rs 530 crore as a contingency provision as of September 30.
Earlier this year, a state-owned bank also opened four special rupee vostro accounts with Russian banks. The bank has also received permission from the Reserve Bank of India (RBI) to open eight more accounts.
Ashwani Kumar, managing director and chief executive officer, of Uco Bank, said that four Special Rupee Vostro Account (SRVA) accounts have already been opened with Russian banks. "We have got permission for eight accounts for which account opening formalities are on. Out of these eight, six are from Russia and two from Belarus."
"In addition, four more banks have approached us to open SRVA accounts. After completing their formalities, we will be approaching RBI seeking approval," he added. Of these, two were from Russia and two from other countries.
Kumar, however, said that the transactions were not very big. The accounts have been opened recently, he said, adding that with awareness, the transactions will pick up.
(With agency inputs)
