UCO Bank ready to come out of PCA framework: Official

UCO Bank

State-owned UCO Bank, which posted net profit for two successive quarters, is ready to come out of the RBI's prompt corrective action (PCA) framework, an official said on Saturday.

In May 2017, the central bank had initiated PCA against the lender due to high non-performing assets and negative return on assets.

"We are ready to approach the RBI to come out of the framework, as the bank posted net profit for two successive quarters," the official said.

He said non-performing assets and capital adequacy norms levels as on June 30 also entitles the bank to move out of the lending constraints' purview.

Net NPA of UCO Bank during the quarter to June was lower at 4.95 per cent, while the capital adequacy ratio stood at 11.65 per cent, he said.

The bank had reported a net profit of Rs 21.46 crore in the first quarter.