Union Bank of India (UBI) is expecting to increase its net interest margins to 2.93% in FY16 from the current level of 2.5-2.6% on the back of improvement in its current and savings accounts (CASA) ratio.
The bank was aiming at improving the CASA level to 31% in the next two years and 30% in the 2015-2016 from the existing level of 28-29%. The bank was not expecting the credit growth to cross 9% this year, while it was likely to increase to 10 percent next year.
The bank registered a fall of 13.33% in its net profit at Rs 302.42 crore for the quarter under review as compared to Rs 348.94 crore for the same quarter in the previous year. However, total income of the bank increased 8.39% at Rs 8921.00 crore for Q3FY15 as compared Rs 8230.17 crore for the corresponding quarter previous year.
