The Union Government will infuse Rs 1,154-crore capital in Union Bank of India before this month-end.
“We have asked for Rs 900 crore and the Government has approved infusion of Rs 1,154 crore,’’ K. Subrahmanyam, Executive Director, Union Bank of India, told newspersons here on Thursday.
The EGM of the bank would meet on March 16 to approve the infusion. “We should be able to complete the process within a week after the EGM,’’ he said.
As on December 31, 2012, Union Bank had a capital adequacy ratio of 10.78 per cent.
On the ensuing policy review by RBI next week, Subramanyam said a 25 basis points cut in key rates was expected.
On the fourth quarter performance of the bank, he said 16-18 per cent credit growth was expected for the full year.
“The net interest margin could be around 3 per cent compared with 2.95 per cent in the third quarter,’’ he said.
Earlier, he inaugurated the 226th ‘UnionExperience’ branch at Somajiguda here to provide speedy basic services to customers at flexible hours.