UCO Bank Q1 profit rises 8% to Rs 656 crore

UCO Bank, a state-owned bank based in Kolkata, reported an 8% increase in net profit to Rs 656 crore for the first quarter of the financial year 2026-27.

The bank's total income rose to Rs 8,682 crore, and interest earned increased to Rs 6,996 crore.

Net interest income grew by 17% to Rs 2,808 crore.

The bank plans to mobilize USD 500 million from FCNR(B) deposits and Overseas Foreign Currency Borrowings (OFCBs) by December.

The RBI has withdrawn the interest rate ceiling on FCNR(B) deposits to attract more foreign currency deposits from NRIs, OCIs, and PIOs.

The bank's asset quality improved with gross NPAs declining to 2.08% and net NPAs to 0.25%.

Provisions for bad loans decreased significantly to Rs 254 crore.

The capital adequacy ratio rose to 19.03%.

The bank also plans to launch an IFSC Banking Unit at GIFT City in Gandhinagar and has branches in Singapore, Hong Kong, and a representative office in Iran.