Calcutta, Jan. 16: City-based public sector lender United Bank of India (UBI) has decided to expand beyond Bengal and the east and plans to set up branches in the central and northern parts of the country.

At least half of the 200 branches to come up in the next financial year could be outside the east as the bank looks to improve its credit-deposit ratio beyond 61.35 per cent recorded at the end of March 2016. 

The credit-deposit ratio can improve if the bank is able to lend more out of the deposits collected. Higher credit offtake typically comes from large industry and the infrastructure segment.

“Today, around 60 per cent of our branches are located in Bengal and the east. We have more liabilities than assets and have to improve our credit-deposit ratio. We plan to have around 200 branches across India next year. There will be branches in the east but we are looking at regions where we are not strong,” managing director and chief executive officer Pawan Kumar Bajaj said at an interactive session at the MCC Chamber of Commerce and Industry.

Bandhan Bank

Bandhan Bank, another city-based lender, today announced the opening of two branches in Goa, increasing the total branches to 770.

The bank has mobilised deposits of over Rs 19,500 crore and its outstanding loans stand close to Rs 18,500 crore.