Union Bank of India has revised its target for credit and deposit growth downwards, in line with the revised projections of the Reserve Bank of India, said Mr M. V. Nair, Chairman and Managing Director.

The bank has set the credit growth and deposit growth targets at 18.5 per cent and 16.5 per cent respectively. At the beginning of the fiscal, the bank had lowered its target for credit growth to 19 per cent, from 22 per cent and deposit growth to 17 per cent, from 19 per cent.

“Credit growth is slowing down. Margins for corporates are still reasonably okay. But the impact on asset quality will be felt by the small and medium enterprises segment or those companies that are highly leveraged or those industries that are hit by certain developments. For instance, textiles industries, which were hit by lower cotton prices,” he said.

Union Chetna

Mr Nair was speaking at the launch of the bank's new customer education initiative, Union Chetna. This is an information window for customers as well as employees. Under this initiative, informative contents will be displayed on a digital screen.

The service will be available to customers during the business hours wherein information on various products and services of the bank will be displayed along with other financial information. The same window will be used to educate employees about developments in the banking sector.

As a pilot, Union Chetna will be available in 50 branches and 10 Village Knowledge Centres. The information may be displayed in 18 regional languages and customised for specific locations.

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