Public sector Union Bank of India raises NPA, huge loss of Rs 1,250 crore

Public sector Union Bank of India raises NPA, huge loss of Rs 1,250 crore

Public sector Union Bank of India raises NPA, huge loss of Rs 1,250 crore


 Public sector Union Bank of India has suffered a huge loss of Rs 1,250 crore in the third quarter of the current financial year. This loss to the bank by making a large amount of money in lieu of non-executed assets (NPAs). In the same quarter last year, the bank had a net profit of Rs 104 crore. In the second quarter of this financial year, the bank had a huge loss of Rs 1,531 crore.

Rajkiran Rai, Managing Director and Chief Executive Officer of the Bank said that during the quarter, his overall NPA increased from 11.70 per cent in the same period to 13.03 per cent and the net NPA increased from 6.95 per cent to 6.96 per cent. This is the reason why the bank had to make a provision of Rs 2,521 crore against the previous year's Rs 1,582 crore for the NPA during the critical quarter. This is the main reason for the downfall of the bank's profits.

Meanwhile, Indian Bank has revised the interest rates on foreign currency expired term deposits with immediate effect. The bank has increased the interest on migrant dollar deposits from more than one year to less than two years and from 2.89 per cent to 3.09 per cent. Similarly, the interest for less than two years but less than three years has been increased from 3.08 percent to 3.31 percent.

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