The Board of Directors has pleasure in presenting the Directors Report 2024-25 together with the Audited Statement of Accounts of UCO Bank for the financial year ended March 31,2025.
FINANCIAL PERFORMANCE
Our Bank has shown steady performance during the year and has made an Operating Profit of Rs. 6,037.31 crore for FY ended March 31, 2025. This reflects a significant Year on Year growth of 31.93 percent from an Operating Profit of Rs. 4,576.25 crore for FY ended March 31,2024. Net profit increased by 47.85 percent to Rs. 2,444.99 crore during FY ended March 31,2025 as against Net Profit of Rs. 1,653.74 crore for the FY ended March 31,2024. Bank has transferred Rs. 611.24 crore, 25% of current year profit to statutory reserve fund in compliance with Banking Regulation Act 1949.
Gross NPA has reduced to Rs. 5,918.54 crore (2.69 percent) as on 31.03.2025 from Rs. 6,463.30 crore (3.46 percent) as on
31.03.2024. Total income stood at Rs. 29,473.55 crore for the year ended 31.03.2025 registering a growth of 17.33 percent over the previous year ended 31.03.2024. Provision Coverage Ratio of the Bank has increased to 96.69 percent as on 31.03.2025 from 95.38 percent as on 31.03.2024.
Following are the highlights of financial performance indicators as on 31.03.2025.
|
(Rs. in crore)
|
|
Particulars
|
Year ended
|
Year Ended
|
| |
March 31, 2024
|
March 31, 2025
|
|
Total Deposits
|
263129.77
|
293542.18
|
|
International Deposits
|
13164.77
|
17333.16
|
|
Domestic Deposits
|
249965.00
|
276209.02
|
|
CASA Deposits (Domestic)
|
98120.03
|
104704.40
|
|
Current Account Deposits
|
12091.39
|
14324.75
|
|
Savings Bank Deposits
|
86028.64
|
90379.65
|
|
Domestic CASA to Domestic Deposits (%)
|
39.25
|
37.91
|
|
Total Advances
|
186877.05
|
219984.81
|
|
International Advances
|
24604.95
|
24510.70
|
|
Domestic Advances
|
162272.10
|
195474.11
|
|
Total Assets
|
323691.45
|
362481.08
|
|
Net Interest Income (NII)
|
8100.78
|
9630.08
|
|
Other Income
|
3265.53
|
4406.63
|
|
Of which - Trading gains
|
396.95
|
338.81
|
|
NII + Other Income
|
11366.31
|
14036.71
|
|
Operating Profit
|
4576.25
|
6037.31
|
|
Provisions other than tax
|
2007.39
|
2203.74
|
|
Provision for NPAs and Bad debts written off
|
1068.27
|
1632.82
|
|
Profit before Tax
|
2568.85
|
3833.58
|
|
Provision for Tax#
|
915.11
|
1388.59
|
|
Net Profit
|
1653.74
|
2444.99
|
|
# of which DTA
|
895.74
|
1335.33
|
|
Key Performance Indicators (%)
|
FY 2024
|
FY 2025
|
|
Cost of Funds
|
4.63
|
4.78
|
|
Yield on advances
|
8.46
|
8.69
|
|
Net Interest Margin
|
2.92
|
3.17
|
|
Cost-Income Ratio
|
59.74
|
56.99
|
|
Capital Adequacy Ratio (CAR)
|
|
Particulars (%)
|
As on
|
As on
|
| |
31.03.2024
|
31.03.2025
|
|
Capital Adequacy Ratio Basel III
|
16.98
|
18.49
|
|
CET-I
|
14.14
|
16.03
|
|
Tier I
|
14.54
|
16.37
|
|
Tier II
|
2.44
|
2.12
|
ECONOMIC SCENARIO: GLOBAL
The International Monetary Fund (IMF), in its World Economic Outlook, April 2025, has forecasted that the global growth for 2025 will decline largely due to policy shifts, escalating trade tensions and uncertainties.
The World output is expected to grow at 2.8 percent in 2025. This is a far fall from the growth of 3.3 percent of 2024. For the Advanced Economies, consisting of United States, Euro Area, Japan, United Kingdom, Canada and Other Advanced Economies, the growth rate is expected at 1.4 percent. This was 1.8 percent in 2024. For the Emerging Market and Developing Economies, for which India and China are a part, the growth rate for 2025 is expected at 3.7 percent against 4.3 percent in 2024.
Retail headline inflation moderated in all major economies in 2025 over 2024, with further reduction expected in 2026. In the United States, it is expected to reduce to 2.5 percent in 2026 from the present 3.0 percent. In Euro Area, it is expected to be 1.9 percent in 2026 from the current 2.1 percent.
The global trade dynamics are undergoing significant shifts due to geopolitical tensions, evolving trade policies and agreements, supply chain realignments, and rising protectionism. Current U.S. tariffs are straining Asian economies by disrupting supply chains and increasing economic uncertainty across the region. A softening of the tariff stance could help boost global economic confidence. However, the economic impact is already visible. The countermeasures adopted by various countries in response to the trade war are slowing down global trade, with the potential to disrupt supply chains and compel companies to rethink global production and trading strategies.
STATE OF INDIAN ECONOMY
In India, retail inflation, measured by the Consumer Price Index (CPI), eased to 3.16 per cent in April 2025, down from 3.34 per cent in March 2025. The CPI-based inflation has now stayed below the Reserve Bank of India's (RBI) medium-term target of 4 per cent for the third consecutive month. This is mainly an outcome of decrease in food inflation due to robust Rabi harvest. The RBI projects India's inflation for FY 2026 at 4.0 percent.
In the wake of positive outlook on inflation and to boost growth the RBI had reduced the repo rate by 50 basis points in two tranches of 0.25 percent each in Feb-2025 and Apr-2025 to the present 6.0 percent. The RBI had also announced a reduction in the Cash Reserve Ratio (CRR) by 50 basis points to 4 percent in Dec-2025.
The RBI's decision to reduce the repo rate aims to relieve liquidity constraints and boost investor sentiment, improve financing conditions, and accelerate momentum in demand. The policy announcement is also indicative that the Central Bank is confidant in its inflation outlook and is looking towards adjusting GDP growth concerns in the background of global slowdown. Further, the MPC has also changed its stance from 'neutral' to 'accommodative', indicating its willingness to cut the interest rates in the near future and expand the money supply to stimulate the economy.
In International Trade, the cumulative exports (merchandise & services) during FY 2024-25 (Apr-24 to Mar-25) are estimated at USD
820.93 Billion, registering a Y-o-Y growth of 5.50 percent. Total imports during FY 2024-25 (Apr-24 to Mar-25) are estimated at USD 915.19 Billion registering a Y-o-Y growth of 6.85 percent. Although India has historically been a trade deficit nation, the Trade Gap has significantly reduced from a high of 19.84 Billion in Nov-24 to 3.62 Billion in March 2025. While export of merchandise and services are somewhat evenly balanced, India is largely a service exporting country with 82.22 percent of total exports being service export.
India's exports to the United States in Apr-Dec 2024 (first nine months of FY 2024-25) increased by 5.5 percent year on year to USD
59.93 Billion and total imports from the United States during the same period went up by 1.91 percent to USD 33.4 billion. India is actively negotiating a bilateral trade deal with the U.S. to avoid the impending tariffs and strengthening bilateral ties. Further, to mitigate the impact, India is also diversifying its exports markets, focusing on regions like Africa and West Asia.
BANKING SECTOR:
The Indian banking industry has been on an upward trajectory aided by good economic growth, rising disposable incomes, increasing consumerism and easier access to credit. Indian Banks have been boosted by rising profitability and declining nonperforming assets (NPA). Banks' balance sheets are consistently improving, with multi-year low NPA ratios, higher provisioning, stronger capital positions and robust earnings. In turn, these developments are facilitating a broad-based and sustained credit expansion.
The twelve Public Sector Banks (PSBs) are positioned strongly with an average year on year growth of 9.73 percent in Domestic Deposit and 13.96 percent in Domestic Advance. RAM (Retail, Agriculture and MSME) Advance constitutes 61.48 percent of the total Domestic Advance with an annual growth rate of 17.12 percent as on March 2025. Retail advance provided the thrust with a growth rate of 27.28 percent in this period. Additionally, GNPA of the twelve PSBs have cumulatively declined by Rs.55890 crores or 16.5 percent in March 2025 over March 2024. The present position of GNPA of the twelve Bank stands at 2.84 percent of their Total Advance, which is a significant decline from 3.93 percent a year ago. With an average Provision Coverage Ratio of 95.01 percent, the PSBs are well provided for in their stressed book.
The PSBs have cumulatively earned a net profit of about Rs. 1,78,364 crore during FY25, which is a healthy rise of 26.32 percent over the previous year. Banks have also raised funds from the market to augment their resources, without depending on the Government for capital infusion. This signals good health of the PSBs and reflects strongly on their soundness and resilience.
PERFORMANCE OF UCO BANK DURING FY2024-25:1.UCO BANK'S DELIVERY CHANNELS:1.1Brick and Mortar Network:
UCO Bank has a geographically well-spread branch network in India and also has presence abroad. As of 31.03.2025, Bank has 43 Zones and 3302 domestic branches, 2 overseas branches (one each in Singapore and Hong-Kong) and 1 representative office has been established in Tehran, Iran.
The Global branch network over 5 years is as under:
|
March 2021
|
March 2022
|
March 2023
|
March 2024
|
March 2025
|
|
3089
|
3074
|
3207
|
3232
|
3304
|
1.2 Branches & Offices Network:
The population category-wise break-up of domestic branches as of 31.03.2024 & 31.03.2025 is given below:
The domestic branches include 6 Flagship corporate branches, 7 Asset Management branches, 4 service branches, 1 central pension processing center, 1 integrated treasury branch and 25 MCU branches. Apart from the above 43 Retail loan Hubs, 43 SME & Agri Loan Hubs, 12 Integrated Loan Hubs and 70 currency chests are also functioning across the country attached to the major city branches of various centers.
2.BUSINESS PROFILE:2.1. Global:
• Global business of the Bank stood at Rs. 5,13,527 crore as of 31.03.2025 compared to Rs. 4,50,007 crore showing an increase of 14.12% over March 2024.
• Global deposits has increased by 11.56% as of 31.03.2025 and stood at Rs. 2,93,542 crore compared to Rs. 2,63,130 crore as of 31.03.2024.
• Global advances increased by 17.72% and stood at Rs. 2,19,985 crore as of 31.03.2025 compared to Rs. 1,86,877 crore as of
31.03.2024.
2.2. Domestic :
• Overall domestic business of the Bank has increased by 14.42% and has reached Rs. 4,71,683 crore as on 31.03.2025 from Rs. 4,12,237 crore as on 31.03.2024.
• Domestic deposits increased by 10.50% and stood at Rs. 2,76,209 crore as on 31.03.2025 from Rs. 2,49,965 crore as on
31.03.2024.
• Domestic advance has shown a growth of 20.46% to Rs.1,95,474 crore as on 31.03.2025 from Rs. 1,62,272 crore as on
31.03.2024.
• CASA deposits increased by 6.71% on Y-o-Y and stood at Rs. 1,04,705 crore, SB deposits grew by 5.06% and stood at Rs. 90,380 crore. Current deposits stood at Rs. 14,325 crore as on 31.03.2025 compared to Rs. 12,091 crore as on 31.03.2024, showing a growth of 18.47% on Y-o-Y basis. 1
3. TREASURY
Domestic Investment of the Bank during the year 2024-25 decreased by 1.22% from Rs. 92,970.05 crore as on 31.03.2024 to Rs. 91,829.79 crore as on 31.03.2025. During the year, the Non-SLR investments decreased by 4.49% which contributed to total reduction in the investment portfolio by 1.22%.
The SLR investment of the Bank has marginally increased from Rs. 66,418.16 crore as on 31.03.2024 to Rs. 66,470.16 crore as on
31.03.2025.
The Non-SLR Investment (Domestic) decreased by 4.49% from Rs. 26,551.89 crore as on 31.03.2024 to Rs. 25,359.63 crore as on 31.03.2025 mainly on account of fair value of Zero coupon Recapitalization Bonds.
During the year 2024-25, interest income (including accretion on Investment) of Rs.6257.21 crore was registered from domestic investment.
3.1 International Business
As on March 31,2025, the Bank's total business from Overseas Branches at Singapore and Hong Kong was Rs. 41,844 crore and constituted 8.15% of the Global Business. The Overseas Business constituted of total deposit of Rs.17,333 crore and total advances of Rs. 24,511 crore.
Our Bank with 65 B-Category branches across India is committed to actively cater to the needs of Exporters/Importers Community and also serve our NRI Customers. The total merchant turnover of the bank during the financial year ended on 31st March, 2025 stood at Rs. 58,184 crore.
4. SOCIAL BANKING4.1 Agriculture
Agriculture Credit of the Bank grew at 20.02% annually from Rs. 24,641 crore as on 31.03.2024 to Rs. 29,575 crore as on
31.03.2025. The details are as under:
|
(Rs. in crore)
|
|
Agriculture
|
31.03.2024
|
31.03.2025
|
YoY Growth %
|
|
Crop Loans
|
92221
|
11185
|
21.28
|
|
Investment Credit
|
6382
|
8360
|
30.99
|
|
Agriculture Allied
|
5812
|
6276
|
7.98
|
|
Infrastructure & Ancillary
|
3225
|
3754
|
16.40
|
|
Total Agriculture
|
24641
|
29575
|
20.02
|
|
*IBPC of Rs.1000 Cr. issued by us.
|
|
2 Performance under Priority Sector Advances vis-a-vis stipulated targets of RBI in FY 2024-25
UCO Bank has shown significant improvement in performance in lending to Priority Sector over the years and is effectively serving
the priority sector and agriculture sector with its vast network of rural and semi-urban branches.
• As on 31.03.2025, the Priority Sector Advances (including investments & PSLC) of the Bank stood at Rs. 87,769 crore which constituted 51.68% of ANBC as against the mandatory target of 40%.
• Total Agriculture Advances (including investments & PSLC) under priority sector of the Bank stood at Rs. 30,965 crore which constituted 18.23% of ANBC as against the mandatory target of 18%.
• Lending to Small & Marginal Farmers (including PSLC) stood at Rs. 17,367 crore as on 31.03.2025 which constituted 10.23% of ANBC as against the mandatory target of 10%.
• Lending to Non-Corporate Farmers stood at Rs. 25,101 crore as on 31.03.2025 which constituted 14.78% of ANBC as against the mandatory target of 13.78%. 2
• Lending to weaker sections stood at Rs. 24,142 crore as on 31.03.2025 which constituted 14.21% of ANBC as against the mandatory target of 12.00%.
UCO Bank is the convenor of State Level Bankers Committee (SLBC) in 2 States i.e. Odisha & Himachal Pradesh. Bank also shoulders the Lead Bank responsibility in 36 districts across the country.
The Bank has moved beyond granting simple farm based credit to a more diversified rural lending strategy. We are focussing more on newly introduced products such as Agriculture Infrastructure Fund (AIF), Animal Husbandry Infrastructure Development Fund (AHIDF) PM Formalisation of Micro Food Processing (PMFME), Food & Agro Processing etc. We have launched Nari Samriddhi Scheme aiming for financing individual members of Self Help Groups.
The Bank continues to focus on its flagship products like KCC, Agri Gold Loans, Horticulture Loans, Financing to Self Help Groups (SHGs). Bank has digitised KCC renewal up to Rs. 2 lac.
4.3 Credit Flow to Self Help Groups:
• The concept of Self-Help Groups (SHGs) has significantly contributed to women's empowerment by fostering financial independence and enhancing their participation in community decision-making. Lending to Self-Help Groups presents an excellent opportunity to promote micro-enterprises in rural areas, leading to increased employment generation and, in turn, higher income for the rural population.
• The advent of Self Help Groups (SHGs) concept has ensured seamless delivery of credit to the poor and has boosted the rural economy. Bank has actively promoted SHG Bank Linkages.
• The outstanding credit to SHGs stood at 4,158 crore covering 1.79 lakh SHGs as on March'25 and registering annual growth of 29.53%.
5. REGIONAL RURAL BANKS (RRBs)
UCO Bank sponsored RRB namely, Paschim Banga Gramin Bank (PBGB) is head quartered at Howrah, West Bengal with four regional offices and 230 branches as on 31.03.2025.
5.1 Capital position of RRB - Paschim Banga Gramin Bank
The total capital of Paschim Banga Gramin Bank as on 31.03.2025 stood at Rs. 682.86 crore comprising Rs. 341.43 crore from Govt. of India, Rs. 239 crore from UCO Bank (as sponsor Bank) & Rs. 102.43 crore from West Bengal State Govt.
5.2 Performance of Paschim Banga Gramin Bank during FY2024-25
As per audited financial results, total deposit of Paschim Banga Gramin Bank stood at Rs. 7,295 crore as on 31.03.2025, registering growth of 5.63%. Total advance reached a level of Rs. 4,415 crore with an annual growth of 6.41% as on 31.03.2025. CD ratio stood at 60.52% as on 31.03.2025 as against 60.08% on 31.03.2024.
The Gross NPA stood at Rs. 343.03 crore as on 31.03.2025 vis-a-vis Rs. 339.31 crore as on 31.03.2024. Gross NPA to Gross Advance stood at 7.77% as on 31.03.2025 as against 8.18% as of 31.03.2024. Net NPA stood at Rs.0.00 crore as on 31.03.2025 visa-vis Rs. 31.75 crore as on 31.03.2024. Net NPA ratio of the RRB stood at 0.00% as on 31.03.2025 as against 0.83% as of
31.03.2024.
Paschim Banga Gramin Bank has recorded a net profit of Rs.63.55 crore as on 31.03.2025 as compared to net profit of Rs. 50.65 crore as on 31.03.2024, thereby decreasing accumulated loss from Rs. 408.81 crore as on 31.03.2024 to Rs.357.26 crore as on
31.03.2025.
6. Corporate Social Responsibility
Bank has taken several programmes/initiatives as a part of Corporate Social Responsibility. Few of these programmes/initiatives are as under:
a) Our Bank has set up 27 Rural Self Employment Training Institutes in 7 states namely Assam, Bihar, Himachal Pradesh, Odisha, Punjab, Rajasthan and West Bengal. These 27 institutes with dedicated infrastructure are devoted to impart training and skill up gradation and to mitigate the unemployment and under employment of rural youths. These institutes are set up by the Bank as a part of initiative taken up by the Ministry of Rural Development to establish dedicated training Institutions for development of entrepreneurship skills in rural youth, under Corporate Social Responsibility (CSR). All RSETIs conducted 979 training programmes involving 30,016 candidates and 12,933 beneficiaries have been provided Credit Linkage of Rs. 47.70 crore during the Financial Year 2024-25.
b) As of 31.03.2025, Bank has set up 127 CFLs with collaboration of NGO identified by RBI namely M/s Swadhar Finassess , CRISIL foundation, Dhan Foundation, Aroh Foundation, HPSRLM, Swadhar Fin Assess Foundation, Gram Sathi, Awoke India, M/s Mother, M/s Aravali in the state of Assam, Bihar, Odisha, Punjab, Rajasthan, West Bengal and Himachal Pradesh. All CFLs collectively conducted 61,889 camps involving 22,59,988 participants and 1,53,389 beneficiaries have been provided with Bank Linkage.
c) Bank has 35 Financial Literacy Centres across the country wherein 13 Financial Literacy Counsellors conduct Financial Literacy Camps. During Financial Year 2024-25, the Financial Literacy Counsellors have conducted 2,418 Financial Literacy Camps thereby spreading Financial Awareness to 91,859 participants as of 31st March 2025.
7. FINANCIAL INCLUSION7.1 Pradhan Mantri Jan Dhan Yojna (PMJDY)
Bank has been allotted with 16,281 villages across the country to provide inclusive Banking Facility in unbanked/under banked areas. In line with DFS directives these villages were categorized into 4122 Sub Service Areas (SSAs). Out of these 4,122 SSAs, 3656 SSAs are covered though BC agents and 466 SSAs in tier 5 villages (Population above 5000) are covered through Branches for ensuring universal Financial Inclusion and to bring the entire population under ambit of structured Banking facility.
Bank has added 845 Bank Mitras making the total BC deployment to 10,653 of BCs till now. During FY 2024-25 total 333.55 lacs transactions amounting Rs.13,080.80 Crores (averaging every month about 27.80 lacs transactions amounting Rs. 1,090.07 Crores) carried out through Micro ATMs used by BC Agents.
Bank has garnered deposit of Rs. 6,060.54 crore at the end of March 25 in 149.24 lakhs PMJDY accounts registering 1.30% growth in PMJDY saving deposit and 9.55% growth in PMJDY account opening. The average per account balance under PMJDY accounts was Rs. 4067 for the FY 2024-25. Bank has opened 12.34 lacs PMJDY accounts during FY 2024-25.
We have distributed around 58.29 lacs RuPay Cards to the eligible PMJDY account holders. During the FY 2024-25 average transactions per month to the order of 1.00 lacs took place through Rupay Cards on Micro ATMs used by BC agents amounting monthly average of Rs. 47.84 crore.
7.2 Aadhaar Seeding & Authentication
As per revised UIDAI guidelines, Aadhaar number can be given voluntarily as identity proof for opening customer accounts. Aadhaar is required for availing benefits under various government welfare schemes. By 31st March 2025, around 92% operative saving accounts have been seeded with Aadhaar number and Aadhaar authentication has been done in 59% of operative saving accounts.
7.3 Micro credit-Overdraft facility
Number of PMJDY accounts using the OD facility in the bank as on March 2025 is 3.72 Lakhs aggregating sanctioned amount of Rs. 75.38 crores. As per Finance Minister's budget announcement (FY 2020-21), an overdraft of Rs. 5000/- is allowed to verified women SHG member in their PMJDY Accounts.
7.4 Social Security Schemes
Working on the Government's theme of providing social security to hitherto unbanked masses, Bank has implemented Insurance and Pension products namely, Pradhan Mantri Jeevan Jyoti Bima Yojna (PMJJBY), Pradhan Mantri Suraksha Bima Yojna (PMSBY), Atal Pension Yojna (APY) through its Branch and BC network. Under PMJJBY scheme, 28.02 lakh subscribers availed life insurance of Rs. 2 lakhs and under PMSBY scheme 63.23 lakh customers availed accidental insurance of Rs. 2 Lakh. So far, a total of 15738 claims are settled under PMJJBY and 2575 claims are settled under PMSBY. Further, total subscribers under Atal Pension Yojana (APY) crossed 12.89 lac till end of FY 24-25. During FY 24-25 1.78 lakh customers have been added to APY Fold with Y-to-Y growth of 16.02%.
7.5 PMJJBY and PMSBY enrolment through M-Banking, e-Banking, SMS:
Electronic mode of enrolment of PMJJBY and PMSBY is also available during FY 24-25 in UCO E-Banking and UCO m banking app. Enrolment of PMJJBY & PMSBY was made available through SMS facility, in which, customers can self-enrol by sending SMS from their registered mobile numbers. Incentive for digital self-enrolment is being passed on to the customers by the way of reduced premium.
PMJJBY and PMSBY enrolment through Jansuraksha Portal: During Last FY all claims regarding the PMJJBY & PMSBY was made live in the Jansuraksha Portal.
7.6 DFS Target and Achievement
a) Saturation Drive under PMJSS (Pradhan Mantri Jan Suraskha Schemes, i.e. PMJJBY, PMSBY, APY): In the backdrop of honourable Prime Minister's Independence Day speech 2021, Department of Financial Services (DFS) directed Banks (vide their Office Memorandum no. F.no.21(23)/2014-FI (Mission) dated 27-09-2021) to implement Saturation Drive for PMJDY account opening & Jansuraksha Schemes to connect every eligible person with the Government's Insurance and Pension scheme.
b) Saturation Drive in PMJDY Account: The target of opening 9.50 lakhs PMJDY accounts has been given by DFS to be achieved during FY 2024-25. We have achieved 12.34 lakh with an achievement of 130% of the target.
7.7 Progress in Aspirational Districts
With a view to enhance the penetration of Financial Inclusion in the Aspirational Districts, Department of Financial Services (DFS) launched Targeted Financial Inclusion Intervention Programme (TFIIP) in January 2020 in 40 ADs and extended it to all 112 Aspirational Districts (ADs) in February 2021. Our Bank has been allotted 7 districts namely Begusarai, Goalpara, Barpeta, Dhubri, Banka, Dhenkanal, Darrang. Some of the key facts related to Aspirational Districts allotted to us have been given below:
• Darrang, Goalpara & Dhubri District(s) of Assam State are among the top performers (since inception of programme) under Financial Inclusion & Skill Development theme in the champions of change Dashboard started by NITI Aayog to monitor the progress in the Aspirational Districts.
7.8 Implementation of Aspirational Block Program (ABP) in 500 identified Blocks of the country
Prime Minister on 07th January, 2023 launched Aspirational Block Programme (ABP) on the lines of the Aspirational District Programme, which is aimed at improving performance of blocks lagging on various development parameters. The programme plays emphasis on improving the socio-economic conditions of these backward blocks. Aspirational Block Programme is started in 500 blocks of the country with approach of reaching the last mile and policy of saturation. It will initially cover 500 blocks across 31 states and Union Territories, with over half of these blocks located in six states - Uttar Pradesh, Bihar, Madhya Pradesh, Jharkhand, Odisha and West Bengal.
As intimated by DFS, the provisional Key Performance Indicators (KPIs) for ABP is as below:
• No. of banking outlet (branch/BC/IPPB) located in the block
• No. of villages in the block not covered by a banking outlet within 5 km
7.9 On boarding of 10600 BCs
We have appointed 845 BCs in under banked and unbanked areas in FY 2025. We are now having BC force of 10,653 as of 31st March 2025.
7.10 Aadhaar Enrolment Centre
A total no of 300 Aadhaar Enrolment centers has been set up covering 10% of the branches as per UIDAI guidelines in our Bank. Bank has outsourced the Aadhaar Operator activity to Corporate BCs in order to create efficient operation of AECs and optimum use of Bank's staff.
7.11 Revenue generated through Financial Inclusion Project
Consistent, efforts under Financial Inclusion have given good results and Bank has started gaining both tangible and intangible benefit out of these activities. While decongestion of branches, reduction of transaction cost and increase in CASA base are intangible benefits of FI Project. Tangible benefits have come in the form of commission earned under various products. Bank has earned Rs. 606.63 lacs in PMJJBY, Rs. 17.35 lacs in PMSBY and Rs. 284.08 lacs in APY as commission during FY-2024-25.
8. GOVERNMENT BUSINESS
Government Business cell handles Small savings Deposit Scheme of GOI, collection of Direct and Indirect Taxes, Floating Rate Savings Bonds, Central and state Government Pension, National Social Security Scheme (NPS).
There was an increase in total account base under Public Provident Fund(PPF) from 1,58,544 on 31.03.2024 to 1,70,991 as on 31.03.2025 registering 7.85% Y-o-Y growth and in Sukanya Samriddhi Yojna (SSY) from 1,33,065 as on 31.03.2024 to 1,49,869 as on 31.03.2025 registering 12.62% Y-o-Y growth.
Bank gives emphasis to promote Govt. Business product to increase fee based income. Turnover Commission of Rs. 24.00 crore approximately earned in FY 2024-25 from various Government Business products I.e. Tax collection, Pension, Small Savings Scheme, APY, Bond Issuance etc. Business performance has also been improved under Govt. Business products substantially.
9. MSME9.1 Initiatives undertaken by Bank for MSME Business Growth during FY 2024-25:
a.Introduced 34 Loan Processing Hubs (SME and Agri Hub/Integrated Loan Hub) across the country to improve credit underwriting. Now, 55 Loan Processing Hubs (SME and Agri Hub/Integrated Loan Hub) are operational.
|
Impact of operationalization of Hubs
|
| |
Sanction by Hubs
|
Sanction by Hubs
|
Growth Impact
|
| |
FY 23-24
|
FY 24-25
|
Amount
|
%
|
| |
Rs. 7,391
|
Rs. 11,178
|
Rs. 3,787
|
51%
|
b. Introduced 11 new MSME loan schemes in line with peer Banks to cater diverse financial needs of MSME customers and to drive MSME Business growth.
i. UCO Arhatiyas
ii. UCO Rice Shellers
iii. UCO MSME Office
iv. UCO Abhinandan
v. UCO Trade Advantage
vi. Mukhyamantri Yuva Udyami Vikas Abhiyan (CM-YUVA) [Uttar Pradesh State]
vii. UCO MSME Nari Samman
viii. UCO MSME Yuva Shakti
ix. UCO PM Surya Ghar Vyaapar Yojana
c. Introduction of 2 digital loan schemes
I. UCO GST Smart Finance
II. MSME Smart Finance
d. Bank has centrally generated around 2 Lacs Udyam Registration Number through Udyam Assist Portal which has helped in formalization of 2 Lacs Informal Micro Enterprises.
e. Bank has identified "Tourism and Hospitality" Industry as champion sector.
f. Bank has Signed MoU with PSB Alliance Private Limited for leveraging Digital Platform of Veefin Solutions for streamlined Supply Chain Finance (SCF) operations and on-boarding corporates on SCF Digital platform.
9.2Impact of Initiatives undertaken by Bank on MSME Business Growth:
• MSME business has grown by Rs. 6,070 crore, to Rs. 38,783 as on March 2025, registering a Y-o-Y growth of 18.55%.
• During FY 2024-25, for the first time total MSME loan sanction crossed Rs. 11,000 crore.
• Average daily MSME Loan sanction has improved to Rs. 31 crore in FY 24-25 as compared to Rs. 20 crore in FY 23-24.
• Average ticket size of MSME Loan sanction has increased to Rs. 13.95 Lacs in FY 24-25 as compared to Rs. 5.62 Lacs in FY 2324. Resultantly, average ticket size of MSME Loan sanction has improved to 2.48 times. 3
• 15 Hubs [SME and Agri Hubs (12) and Integrated Loan Hubs (3)] have achieved MSME sanction target of FY 2024-25.
• Rs. 3,000 Crores MSME Loan sanctioned in fortnightly "MSME and Agri Carnival" campaign held from 12/02/2025 to 25/03/2025 (42 Days).
• 2,671 Digital MSME Loans amounting to Rs. 198 Crores sanctioned in FY 24-25.
|
Performance under Digital MSME Loans (Status on 31.03.2025)
|
| |
(Amt in
|
Rs. crore)
|
|
Particulars
|
No
|
Amount
|
|
STP Shishu Mudra
|
1211
|
6
|
|
UCO GST Smart Finance
|
1368
|
180
|
|
UCO MSME Smart Finance
|
92
|
12
|
|
Digital MSME Loans
|
2671
|
198
|
10. RETAIL
• UCO Bank's Retail Loan portfolio has increased at an impressive 35.09 percent Y-o-Y to Rs. 54,255 crore in March 2025.
• Year on Year growth in Home Loan portfolio stands at 18.13 percent, Vehicle Loan at 58.99 percent and Personal Loan at 46.30 percent as on March 2025.
• Retail loan portfolio constitutes 27.75 percent of the bank's total domestic advances.
10.1 STP Journey Introduced By The Bank: In order to implement customer engagement and drive business growth under retail loan segment the bank has introduced following STP journeys in FY 2024-25:
• Pre-qualified personal loans - This is a personal loan scheme provided to the eligible customer on the basis of their transaction history in savings accounts.
• Introduction of STP education Loan - UCO Utkarsh (male student) & UCO Udaan (female student), customer's journey for availing education loan under the aforementioned schemes should be easy and readily available in electronic platforms.
• Introduction of select plus which is a personal loan for asset customers who are having good track record.
10.2 Introduction Of New Retail Loan Schemes:
• Udaan" Scheme was launched with the objective of providing financial support from the banking system to meritorious female students at preferential terms, who have secured admissions in Premier Educational Institutes . 4
10.4 Enablers Provided For Increasing The Growth In Retail Portfolio:
• 100 percent waiver in processing charges in home loan and car loans and 100% waiver in documentation charge in car loan was provided till 31.03.2024.
• Modifications in PSVR 2 guidelines for salaried class.
10.5 Launch of Business Campaign
• Shubharambh and Monsoon Magic were also launched during the first half year of FY 2024-25 to boost sanctions under Home and Car Loans
• Teevra Campaign to boost car loans during the first quarter of FY 2024-25.
• UCO UTSAV Campaign aims to boost sanctions under Home & Car loans schemes during the period from 01.10.2024 to
30.12.2024.
• UCO premier league campaign aims to boost sanctions under Home & Car loans schemes during the period from 21.10.2024 to
07.12.2024.
• UCO project was launched to enhance the number of project approvals to increase sanctions under home loans and improve TAT and ticket size during the period from 20.11.2024 to 31.12.2024.
• UCO Premier League-T20 (UPL-T20) - To boost Home Loan & Car Loan sanctions a campaign has been launched from 16.12.2024 to 11.02.2025.
11. RESOURCES
A dedicated Resources Vertical was launched on 23rd Aug 2023 to focus on mobilization of CASA & term deposits. In which three cells was created i.e. Savings, Current & Govt. Deposit. The Vertical is headed by GM & the cells are headed by DGMs.
11.1 Key Accomplishments:
• Current Deposit has grown at 18.47% (Y-O-Y).
• Savings Deposit has grown at 5.06% (Y-O-Y).
• CASA Deposit has grown at 6.71% (Y-O-Y).
• Term Deposit has grown at 12.95% (Y-O-Y).
• Total Deposit has grown at 11.56% (Y-O-Y).
11.2 Initiatives taken by Resource Department in FY2024-25:
• Introduction of Saving Account Products 'UCO Shaurya' & 'UCO Shoorveer' for defence and paramilitary forces.
• Introduction of Tiered Savings Products: UCO Unique, UCO Royal, & UCO Privilege.
• Introduction of 'UCO Asha' pension scheme.
• UCO Saathi' current account scheme for co-operative banks/ RRBs.
• 'UCO Pink Basket' offered for female customers which includes:
> 'UCO Aparajita' Savings Scheme for women customers.
> 'UCO Jaya Lakshmi' Current Account Scheme for women customers.
> 'UCO Sanchayika' RD scheme for women customers.
• Introduction of 'UCO NSCCL E-FDR' for clearing members of NCL.
• Introduction of 'UCO Green Deposits' FD scheme in line with RBI guidelines on Green Deposit Policy.
• 'UCO 333' Special Deposit Scheme for 333 days with attractive ROI has been introduced for a limited period till 31.12.2024. Rs. 8,094 crore term deposit has been mobilized under 'UCO 333'.
• 'UCO Connect' programme for strengthening customer relationship with thrust area on conversion of inoperative account.
• Board approval obtained for Enrolment of UCO Bank as a Clearing Bank of the Clearing Corporations such as NCL, ICCL, MCXCCL, etc. for clearing & settlement purpose, Upstream & Downstream current accounts, etc. It will help to expand our liability business portfolio through diversified products/ services.
• Offering Cash Management Solution (CMS) for corporate/ commercial deposit customers to make our bank especially sticky and increase share of wallet. Direct Debit Facility for NBFCs is already live and functional.
11.3 Campaigns:
• Launched Campaign 'Josh-RD' for recurring deposit mobilisation.
• Launched Campaign "Mission Sheersh" from 11.11.2024 to 21.12.2024 with an objective to mobilise CASA from New Onboarding.
• Launched Campaign "Winter Carnival" from 24.12.2024 to 31.12.2024 with an objective to mobilise CASA.
11.4 Tie up/Agreement initiative and Integration arrangements with other institutions:
• MOU signed with reputed PSUs for Salary Tie up and for Collection and payment.
• Integration for payment gateway with Government owned companies for online bill/fund collection and payment using virtual account number (VAN) for their clients.
• Integration for offline bill collection for consumers of reputed companies.
• Approval obtained for Host to Host API payment Integration with reputed public sector undertaking.
12. MARKETING AND WEALTH MANAGEMENT12.1 Marketing
The Marketing activities of the Bank eyes at increasing the mobilization of new business, promotion of different products of the Bank and to maintain the brand value of the Bank among the customers. Lead generation and business mobilization being taken up by the Department.
a) Sales Force Team (SFT):
Introduction of Sales Team was done in FY 2022-23 revamping the erstwhile Marketing Team structure with higher number of staff strength in different centres. Different Sales Force Teams were created for Home loan, Other Retail loans and MSME Loans with separate KRAs for separate portfolios. In FY 2024-25, Rs. 4,304 crore has been sanctioned through the leads generated by Sales Team Members.
b) Direct Selling Agents (DSA):
Engagement of Direct Selling Agents (DSA) was introduced in FY 2022-23. In FY 2024-25, total sanctioned amount sourced by DSAs under Home loan is Rs. 3,644.54 crore, Car Loan Rs. 838.15 crore and loan canvassed from Retired Staff DSA is Rs. 129.13 crore, totalling Rs. 4,611.82 crore and registering 57% of YOY growth in overall DSA sanctioned amount from the previous Financial Year.
c) Tie up with Car Manufacturing Companies to present UCO Bank as their preferred Financer:
Integration of our Bank's Loan processing system in the digital platform of Maruti Suzuki India Ltd for easy and quick digital lending has been done and Loans are being sanctioned directly through end to end digital process. During the last financial year 2024-25 more than 1500 car loan sanctioned through the leads generated from this portal. In the same line, agreement has also been done with M/S Mahindra and Mahindra for digital car loan leads to enhance our car loan segment. Integration has also started for the same.
In addition to that bank has tied up with different car companies (Mahindra & Mahindra, Toyota Kirloskar Motors Pvt. Ltd., Tata Motors Passenger Vehicle Ltd., Maruti Suzuki India Ltd.) to promote our Bank as the preferred Financer to the Car Purchasers. Also, various joint activities were organized with these companies across the country to develop a strong relationship between our branches and the car dealers/outlets for generating handsome business for the bank.
d) Lead generation:
Bank is having its indigenous Lead Generation Management System (LGMS) and Customers having interest in different products of UCO Bank can register their requirements through SMS/ Missed Call/ Website/ ChatBot/ Whatsapp etc. Outbound calls (cold calling) are also done by our call centre agents too, for Lead generation of different products. The generated Leads from various channels were tracked, monitored and disposed via indigenous Lead generation management system of the Bank.
|
12.2 Wealth Management & Credit Card:
|
|
Business Done under Wealth Management
|
|
Business done in Bancassurance (2024-25) (in Rs. lacs)
|
|
Name of the Company
|
Premium
Collected
|
Commission
Earned
|
NOP
|
|
LIC of India
|
3032.29
|
137.51
|
832 (NB)
|
|
SBI Life Insurance Co. Ltd
|
44596.82
|
2890.90
|
74,473
|
|
ICICI Prudential Life Insurance Co. Ltd
|
11569.30
|
1938.32
|
9,080
|
|
Care Health Insurance Co. Ltd
|
1627.65
|
255.08
|
71,435
|
|
Star Health & Allied Insurance Co. Ltd
|
911.60
|
137.99
|
11,736
|
|
Aditya Birla Health Insurance Co. Ltd
|
497.54
|
81.27
|
31,177
|
|
Future Generali Insurance Co. Ltd
|
4613.10
|
583.73
|
2,03,657
|
|
Oriental Insurance Co. Ltd
|
250.29
|
42.83
|
14,047
|
|
SBI General Insurance Co. Ltd
|
933.08
|
136.40
|
53,231
|
|
Sub- Total
|
68031.67
|
6204.03
|
4,69,668
|
|
Business Done in Mutual Fund & Broking (Rs. In Lacs)
|
|
Wealth management Business (MF/SIP, Broking, Demat, NPS, AIF, PMS, ASBAIPO)
|
|
197.00
|
|
|
Business Done in Credit Card (Rs. In Lacs)
|
|
Commission earned
|
NA
|
262.00
|
|
|
Total Commission Earned
|
|
6663.03
|
|
a) Bancassurance
• Bank is Corporate agent of Insurance Companies for Soliciting Insurance Business for life, General and Health Segment.
• Bank has 3 channel partners in each segment of Insurance and 9 Channel partners in total.
Present Partners under corporate agency arrangement:
• Life insurance - Life Insurance Corporation of India, SBI Life Insurance Co. Ltd. and ICICI prudential life Insurance Co. Ltd.
• General Insurance - The Oriental Insurance Co. Ltd., Future Generali India Insurance Co. Ltd. and SBI General Insurance Company Ltd.
• Health Insurance - Star Health & Allied Insurance Co. Ltd., Care Health Insurance Ltd. and Aditya Birla Health Insurance Co. Ltd.
For group Credit life, Bank is having tie-up arrangement with Kotak Mahindra Life Insurance Company Ltd. & ICICI prudential life Insurance Co. Ltd. to cover Life risk of Home, education and other retail loan borrowers. 5
• Bank has taken the initiative for Digital platform for insurance for end-to-end seamless digital mode of sourcing proposal and payment of premium resulting in reducing policy issuance TAT and also better control on the business sourced through our Bank.
• 142 Health checkup camps & 45 voluntary blood donation camps have been organized by our health insurance channel partners across our bank branches and Offices.
b) Wealth Management:
Bank is having arrangements with the Fintech partner Fisdom for providing Wealth Management services to the customers, through referral mode. Bank is also having tie-up with Aditya Birla Money limited for providing trading facility to the de-mat account holders of the Bank.
c) Credit Card:
Bank is providing Credit Card facility to its customer on referral basis with SBI cards and payment services limited. List of preapproved customers eligible for availing different type of cards are provided to branches. These customers are approached and final card issuance is done by SBI Card after getting consent & necessary documents from the customers. Commission is earned on issuance, renewal of cards and on usage of the Cards.
12.3 Door Step-Banking:
Bank is actively promoting Door Step Banking initiative taken by PSB Alliance. During the FY 2024-25 numbers of campaigns were launched by PSB Alliance. Bank is providing door step services from 1242 designated branches in the country. Facilities like 15G/H collection, Life certificate collection, delivery of account statement, Cheque Book, Draft, pay order and other important services are being provided through DSB.
13. RECOVERY
Bank's recovery mechanism is also geared up at all levels of the organization and Recovery Department has adopted following strategies to maximise recovery.
• Initiating timely SARFAESI action and sale of assets through SARFAESI with utilization of BAANKNET (e-Bikray) platform and LMS. Steps taken for getting DM permission for physical possession of mortgaged properties to improve success rate of e-auction.
• Utilization of Enforcement Agents / Recovery Agents for liaison with Magistrates for physical possession of property and to ensure that all actions are carried out in a time bound manner.
• Filing of DRT suits, Civil suit & suit u/s 138 of NI Act.
• Utilization of Detective Agencies to trace out absconding Borrowers and Guarantors as well as for unearthing personal properties in the name of borrowers/guarantors and attaching the properties through DRT in eligible cases. 6
• Declaration of Wilful Default.
• Contacting KCC borrowers by early morning field visit
• Contacting NPA borrowers through Robocall for recovery through compromise.
• Holding Mega Recovery camps at regular intervals.
• Regular review of Zones, high NPA branches and AMBs.
The details of GNPA, NNPA, Cash Recovery and upgradation for the last three years are as under.
|
(Amt in crore)
|
|
Particulars
|
31.03.2023
|
31.03.2024
|
31.03.2025
|
| |
(Audited)
|
(Audited)
|
(Audited)
|
|
Cash Recovery
|
1354.10
|
740.08
|
702.06
|
|
Up gradation
|
678.13
|
657.54
|
524.52
|
|
Total
|
2032.23
|
1397.62
|
1226.58
|
|
Recovery in Technical Written off accounts
|
1613.42
|
1475.38
|
2630.61
|
|
Gross NPA
|
7726.46
|
6463.31
|
5918.54
|
|
Gross NPA %
|
4.78%
|
3.46%
|
2.69%
|
|
Net NPA
|
2018.02
|
1621.65
|
1068.31
|
|
Net NPA %
|
1.29%
|
0.89%
|
0.50%
|
The total cash recovery and upgradation for the year ended 31st March, 2025 is Rs. 1226.58 crore as against Rs. 1397.62
crore for the year ended 31st March, 2024.
The cash recovery in technically written-off accounts is Rs. 2630.61 crore for the year ended 31st March, 2025 compared to Rs
1475.38 crore for the previous year. Recovery in Loss and Written Off assets has a direct impact upon the profitability hence Bank
is giving priority in monitoring / follow-up for recovery in such accounts.
13.1 Recovery initiatives:
• Bank had implemented new Non-Discretionary & Non-Discriminatory Special One Time Settlement Scheme named "Lakshya Rin Mukti" from 1 st July'2024 for settlement of NPAs & ML (PWO) Accounts with outstanding ledger balance up to Rs. 50.00 Lac as on 30.06.2024 under Doubtful, Loss, TWO and ML category. The extended period of validity of the scheme shall be 30.06.2025. 7
• Dashboard: Bank has launched one Dedicated Dashboard for better Credit Monitoring at all level.
• Probable NPA Dashboard: Live Credits is available in Dashboard which will help to reduce SMA upto a larger extent.
• A new report "Monitoring Daily NPA" at Credit Monitoring Dash Board has been made available to tackle daily NPA run.
• The Dashboard provides a detailed picture of the Retail portfolio of the Bank with below mentioned reports :
> Geographical distribution
> Bucket-wise Advance
> Trend in movement of Advance
> Special Mention Accounts (on daily basis)
> Spurt In Advance
> Sanctioning of Frequent TODs
> NACH/ SI failed
> Upcoming Monthly Demands
> Upcoming Review-Renewal
> Upcoming Stock/BD Dues
> Demand Loans Due
• Various collection actions viz. Auto E-mail/SMS, IVR Calls, Call Centre Calls, Branch Calls and Branch officials' visits are being made in order to improve the collection efficiency in accounts.
• As a part of stressed asset management, default assets of Rs. 5 crore and above weekly reporting done to RBI at Central Repository of Information on Large Credit (CRILC) platform and monitored on daily basis.
• NPA Tracker through mobile application has been introduced for monitoring stressed and NPA accounts at base level.
14.2 To improve upon functioning at the grass root level, bank has devised following strategic policy and guidelines:
a) Operational guidelines for Credit Monitoring for FY 2024-25 and FY 2025-26 has been updated and put in place after obtaining approval of the members of Board of Directors.
b) Policy for empanelment of TEV consultants for FY 2024-25 and FY 2025-26 has been revised and put in place.
c) Guidelines for empanelment and appointment of Stock & Book Debt auditors for FY 2024-25 and FY 2025-26 has been revised and
put in place.
d) Policy for empanelment of valuers for FY 2024-25 and FY 2025-26 for the properties offered as securities, both primary and collateral while processing of credit facility has been revised and put in place.
e) Policy for Engagement of Agencies for Specialized Monitoring for FY 2024-25 and FY 2025-26 and effective monitoring of Large Borrowal accounts with exposure above Rs 250.00 Crores has been revised after obtaining approval of the Board.
f) Policy on Resolution of Stressed Assets under Prudential Framework and Master Guidelines for Restructuring of Advances for FY 2024-25 & 2025-26 (For 2 years) has been revised after obtaining approval of the Board.
g) Stressed accounts of Rs 5.00 Cr and above was directly monitored by High Power Committee (HPC), headed by Executive Director (ED) on monthly basis.
15. RISK MANAGEMENT
Risk is an integral part of the Banking business and the Bank aim to achieve the corporate goal by appropriate trade-off between Risk and Returns. Risk Management at Bank includes risk identification, risk assessment, risk measurement and risk mitigation, with its main objective being to minimise the negative impact on profitability and capital.
Bank is exposed to various risks that are inherent part of any banking business. The major risks are Credit Risk, Market Risk, Liquidity Risk and Operational Risk.
To ensure sustainable and consistent growth, Bank has framed a sound risk Management framework so that the risks assumed by the Bank are properly assessed and monitored. All the products, processes and policies are routed through the various Executive Level Risk Committees (Credit Risk Management Committee, Operational Risk Management Committee, Asset Liability Management Committee and Market Risk Management Committee) and the Risk Management Committee of the Board (RMCB) before being approved by the Board of Directors. The Bank has on-boarded a Risk Advisor, Who has rich experience in Regulatory as well as in Risk Management area.
15.1 Credit Risk Management
Credit risk is managed through a Board approved framework that sets out policies, procedures and reporting which is in line with best practices. Bank has a strong credit appraisal and risk management framework for identification, measurement, monitoring and control of the risks in credit exposures.
The Bank has put in place prudential caps across industries, sectors and borrowers with an objective to build a resilient portfolio and de-risk from portfolio concentration. The Bank also assesses risks associated with various Countries, State Governments, Group Borrowers etc. and setting exposure caps. As a part of enhanced exposure monitoring, quarterly reviews are carried out for the Bank's key exposures, segments, industries and sectors. A dedicated Credit Risk Management Cell tracks internal & external developments to assess impact on the portfolio performance and recommend pro-active remedial actions.
Adequate attention is given to the independence of the risk evaluators and business functions for establishing a sound credit culture and a well-structured credit approval process.
The Bank has made computation of 'Risk Adjusted Return on Capital (RAROC)' for all credit proposals of Rs.1.00 Crore and above mandatory, other than retail schematic loans for prudent use of Capital in terms of Return and addition of economic value to the stakeholders.
In order to ensure independent risk based assessment of credit proposals, Bank through its Credit Risk Evaluation Process, classifies borrower into low/medium/high risk.
15.2 Operational Risk Management
Bank has put in place Operational Risk Management Framework (ORMF) for effective management of Operational Risk. Operational Risk Management Framework comprises of the organizational structure for management of Operational Risk, governance structures, polices, procedures and processes whereas Operational Risk Management System consists of the system used by the Bank in identifying, measuring, monitoring, controlling and mitigating Operational Risk.
The Bank has created a repository of Internal Loss Data as part of Operational Risk Management. Root Cause Analysis for the various loss events is being carried to strengthen the control environment and the findings are circulated to the field functionaries for avoiding such incidence from recurring in the future.
Bank has implemented Risk Control & Self-Assessment (RCSA) which is used to identify key Operational Risk and assess the degree of effectiveness of the internal control. Based on the RCSA findings suitable risk mitigation strategies are devised to plug in the control gaps.
Bank has framed and automated Key Risk Indicators (KRl) matrices, which enables the management to mitigate risks that are reaching less acceptable levels through real time monitoring and providing alerts when thresholds are breached.
A central repository of information related to various outsourcing activities has been created for better monitoring and Vendor Risk Management.
Risk Officers have been designated in each zone for co-ordinating with Risk Management Department, Head Office to support and manage various types of risk emanating from Business units
15.3 Market Risk Management
Market risk implies the risk of loss of earnings or economic market value due to adverse changes in market rates or prices of trading portfolio. The change in economic value of different market products is largely a function of change in factors such as Interest rates, exchange rates, economic growth and business confidence. The bank has well defined policies to control and monitor its treasury functions which undertakes various market its risk operations.
Bank measures Interest Rate Risk in its trading book through Modified Duration, PV01 and VaR on a daily basis. Foreign Exchange Risk is also measured in terms of Net Overnight Open Position Limits (NOOP), VaR limit, AGL (Aggregate Gap Limit), Individual Gap Limit on daily basis. VaR and portfolio size limit are measured along with monitoring of our portfolio at transaction level, stop loss wise and dealer wise limit.
Back-testing and Stress Testing of all the parameters associated with Market Risk are being done on regular basis.
Under stress testing framework, Bank conducts comprehensive stress of its trading book portfolio as well as interest rate risk in the banking book due to mismatch between rate sensitive asset and liabilities on quarterly basis, which generally impact the earnings/ Equity of the banks with the change in the interest rate in the market. We use Traditional Gap analysis, as well as Duration Gap approach to measure interest rate risks in Banking Book.
Value at Risk (VaR) is a tool used for monitoring risk in the Bank's Trading Portfolio. The Enterprise-level VaR of your Bank is calculated and back tested on daily basis . The stressed VAR for Market Risk is also computed daily. This is supplemented by a Board-approved Stress Testing Policy and framework that simulates various Market Risk scenarios to measure stress losses and initiate remedial measures.
The Market Risk Capital Charge of your Bank is computed using the Standardised Measurement Method (SMM), applying the regulatory factors.
Bank undertakes risk-adjusted performance analysis of its domestic and overseas portfolios. It also analyses the credit rating migration of non-SLR bonds as a tool for decision making.
Model used in Market Risk Management is also validated by External Agency.
15.4 Liquidity Risk Management
Liquidity risk is the ability to meet expected and unexpected outflows at reasonable cost. Bank monitors its liquidity risk through flow and stock approach in accordance with Board approved ALM Policy.
Bank has implemented the BASEL III framework for Liquidity Standards as LCR (Liquidity Coverage Ratio), Liquidity Monitoring tools and LCR disclosure standards and ensures maintenance of adequate level of unencumbered High Quality Liquid Asset which can be converted into Cash to meet liquidity needs for a 30 calendar days' time.
NFSR (Net Stable Funding Ratio) which promotes resilience over a longer term time horizon by requiring banks to fund their activities with more stable sources of funding on an on-going basis. Bank is maintaining NSFR above than regulatory specified ceiling.
Bank also assesses its liquidity position under various stress scenarios to understand its funding position in case there is stress environment within the Bank as well as in market. Bank has included various triggers for contingency funding plan to meet any liquidity requirement. Bank has on-boarded vendor for ALM Automation for enhanced liquidity monitoring & Interest rate Risk.
Interest Rate risk in the Banking book (IRRBB) arises due to mismatch between rate sensitive assets and rate sensitive liabilities which may adversely impact the earnings / economic value of the equity of the Bank with the change in Interest rates in the market. For measurement and monitoring of interest rate risk in banking book, the bank uses risk management tools such as Traditional GAP analysis, Earning at Risk and Modified duration of Equity. The short term impact of interest rates movement on Net interest Income (NII) is worked out through the "Earnings at Risk" approach by taking into consideration parallel shift in yield curve, yield curve risk, basis risk and embedded options risk. The Long term of Interest rate movement is measured and monitored through change in Market Value of Equity.
15.5 Credit Rating
In order to access the level of credit risk in any credit proposal, Bank does internal rating of borrower with exposure greater than Rs.
25.00 Lacs, for MSME accounts and more than Rs. 50 Lakhs for Agriculture borrowers.
Bank has upgraded its Credit rating process with effect from October, 2023. The New Model has better default predictability as well as more in line with External Rating.
Credit Proposal not covered under credit rating is assessed based on Score Card Model. Score Card Model was recalibrated after validation by External Agency. The main objective was to standardize the underwriting process for Retail, Agriculture and MSME (RAM) lending. Score card model uses technique combining several financial and non-financial characteristics to form a single score to assess borrower's creditworthiness. Presently Bank is using 19 Score Card Models for all retail loans, loans & advances under MSME segment upto Rs. 25 Lakhs & Agriculture segment upto Rs. 50 Lakhs
15.6 Fraud Risk Management
Bank has in place Fraud Risk Management cell under Risk Management Department which manages the fraud risk and ensure reporting of Fraud incidence to RBI within the timeline specified by the regulator as well as lodging of Complaint with Law Enforcing Agency.
Bank has constituted Committee of Executive - Fraud Risk Reporting and Management (CoE-FRRM) for declaration of account/ incidence as fraud based on the element of fraud. Root cause Analysis of frauds is being conducted and Control is implemented wherever needed for avoiding such incidence from recurring in the future.
Bank's has constituted two Fraud Management Group (FMG) for analysing the reported Early Warning Signals in borrower's account for classification it as Red Flag Account for timely detection of potential fraud.
Further, Bank has implemented Enterprise Fraud Risk Management System (EFRMS) comprising of Risk Based Transaction Monitoring System (RTMS) for timely detection of potential fraud. The EFRMS operations have been augmented to cover 24x7 alert disposals.
15.7 Sustainable Development
The Bank acknowledges the urgency of climate change and recognize global warming as one of the most significant threats to businesses and livelihood globally. Climate change risk has become a crucial challenge to the financial industry of late. The Bank committed to reducing the impact of climate change risk and is consciously working towards sustainable development of its banking operation. As per lending policy, Bank prohibits Loans and advances to industries consuming / producing ODS (Ozone Depleting Substance) which enables in reduction of greenhouse effect.
The Bank has taken several steps to reduce its carbon emission and minimize energy consumption namely:
I. Bank's two offices are powered by solar energy resulting in reduction in power consumption and in carbon emission.
II. LED light have been used in most of the branch premises/offices to reduce electricity consumption.
16. DEPARTMENT OF INFORMATION TECHNOLOGY16.1 Major IT Initiatives implemented during Fy24-25:
• Allocated Rs. 1053 Cr. for IT projects, with 60% utilization and multiple projects in progress. (RFP/ evaluation/ approval stage).
• Awarded PCI DSS Certification.
• Established Next Generation Network Operation Centre (NOC) for managing Network Operations 24x7.
• Introduction of TAB Banking in all bank branches.
• Implementation of Resilience Operation Center (ROC).
• Implementation of IT Asset Management and Application Whitelisting solution.
• Rollout of new Virtual Machine environment - "Aakash Ganga"
16.2 Major IT Initiatives commenced during Fy24-25 and is in progress:
• Implementation of Enterprise DMS.
• Data Centre Consolidation.
• Implementation of Identity Access Management (IDAM).
• Onboarding of System Integrator (SI) for CBS.
• Branch Network Devices - Refresh.
• Comprehensive Testing Setup.
• Forex Processing Center (FXPC).
• Strengthening of IT Infra:
> VM Upgrade
> Oracle ULA
> UPI Storage Upgrade
> Automated DR
> Near DR
> Cyber Security Vault
17. DIGITAL BANKING17.1 Major Initiatives undertaken in FY 24-25
The Digital Banking Department undertook a comprehensive set of initiatives in FY 2024-25, aimed at strengthening customer experience, enabling financial inclusion, digitizing operations, and modernizing banking services:
UPI & Payment Innovation
1. UPI Lite Autopay Feature: Facilitated automatic wallet top-ups, ensuring consistent payment experiences.
2. UPI Circle: A unique feature that allows primary users to delegate UPI access with control settings-ideal for families or shared expense.
Payments Ecosystem
3. E-Banking Integration with ICEGATE: Enabled seamless digital payment of customs duties.
4. Loan Repayment via BBPS: Customers can now repay loans through Bharat Bill Payment System, improving repayment convenience.
Cross-Border and Investment Services
5. International Money Transfer via Scan & Pay: Enabled remittances to select countries like Sri Lanka, UAE, Nepal, France, and more through QR-based transfers.
6. ASBA for HNI Customers: Enabled ASBA services through mobile and internet banking for simplified digital investment in IPOs Security and Accessibility Features
7. Positive Pay via WhatsApp Banking: Strengthened cheque transaction security.
8. Mobile Banking for UCO Contractor Scheme: Increased accessibility for contractors through digital banking.
9. CKYC ID Display: Customers can view CKYC ID directly through digital channels.
10. AePS Enable/Disable: Aadhaar-enabled payment systems can now be managed online.
11. Re-KYC via WhatsApp Banking: Allowed low-risk customers to complete Re-KYC updates through WhatsApp.
12. Stop Payment of Cheque Facility in WhatsApp Banking
13. Sukanya Samriddhi Yojana Account Balance Check in WhatsApp Banking
14. Recurring Deposit Details and Summary in WhatsApp Banking Specialized Products and Account Features
15. UCO Sanchayika Scheme: A women-focused savings product available through digital platforms.
16. NRE RD Account Opening: NRE customers can open recurring deposits via mobile banking.
17. NRE to General Account Conversion: Simplified conversion process of NRE accounts into regular savings accounts.
18. Spend Analyzer: A smart spend tracking tool introduced in Internet Banking to monitor expenses and alerts. NRI and Digital Convenience Features
19. OTP on Email for NRI Customers: Enhanced security by offering OTP delivery via email.
20. PPF Account Opening via Internet Banking: Extended the PPF facility to internet banking (already present in mobile banking).
21. Loan Against FDR (Retail) via Internet Banking: Retail customers can now avail loans against FDs digitally Digital Product Enhancements and Launches
24. Android POS Introduction: Deployed Android-based POS machines for more secure, modern, and efficient merchant payments.
25. Dynamic Merchant QR with Soundbox: Enabled real-time audio alerts for merchants, enhancing payment confirmation security.
26. Self-Service Password Management: Corporate and proprietorship customers can now reset passwords online using OTP and debit card verification, reducing reliance on branches.
27. Branch Authorization Removed for CC Beneficiaries: Customers can now add beneficiaries to CC accounts via Internet Banking without branch intervention.
28. UCO Green Deposit Scheme Online: Green deposit accounts can now be opened via internet and mobile banking.
Product Launches & Infrastructure Enhancement
27. Launch of Women-Specific Aparajita Debit Card: A special debit card with added benefits like insurance and coupons from brands like Myntra and Swiggy.
28. Launch of Metal Card for HNI customers
29. Limit management(Increase/decrease) of OD against FD via UCO mBanking Plus.
Technology & Knowledge Initiatives
30.Digi FAQ and Digi First: Published a digital FAQs guide (e-SAHAYAK) and a digital product magazine (Digi First).
17.2 Project Parivartan - Launch and Achievements
Project Parivartan served as a major digital transformation initiative for the bank in FY 2024-25, focused on enhancing the Straight Through Processing (STP) capabilities across segments. The initiative aimed at reimagining customer journeys by digitizing and automating end-to-end processes for lending, liabilities, and onboarding.
Key Journeys Launched Under Project Parivartan
a) Retail STP Journeys
• Pre-Qualified Personal Loan (PQPL): Digitized loan disbursal with minimal documentation and instant approvals.
• Revamped Loan Against FD: Provided customers a seamless option to avail overdrafts digitally against fixed deposits.
• OD Against FD: OD facility introduced against Fixed Deposits through UCO Mbanking+.
• Education Loan: Education Loan STP journey.
b) MSME STP Journeys
• Shishu Mudra Loan: Simplified micro-business credit through a quick online application process.
• GST Smart Finance: Enabled Cash Credit limit based on GST data for small businesses.
• MSME Smart Loan: A new digital journey for eligible small and medium enterprises for composite credit facility upto 25 Lacs.
• CC Renewals: Digitized renewal process for MSME Cash Credit accounts upto 10 Lakhs.
• Tarun Mudra Loans: Streamlined loan disbursement for businesses.
• Kishore Mudra Loans: Digital loan disbursement journey for businesses.
c) Agriculture STP Journeys
• KCC Renewals: Simplified renewal process for Kisan Credit Cards (upto 2 Lacs) through web & SMS Journey.
• KCC via Jan Samarth Portal: Integrated platform for streamlined access to agricultural finance.
d) Liability Journeys
• Revamped FD/RD via M-Banking and Tab Banking
• Savings and Current Account Opening via Tab Banking
Impact and Growth Metrics of Project Parivartan (FY 2024-25)
Project Parivartan enabled impressive growth in account disbursements and credit outflows:
• PQPL: Disbursed to 20,669 customers, totalling Rs. 668.94 Cr
• GST Smart Finance: Disbursed over Rs. 183.62 Cr across 1,394 accounts
• MSME Digital Loan(Shishu, Tarun, Kishore & MSME Smart): Disbursed over Rs. 15.76 Cr across 852 accounts
• Revamped STP KCC Renewals: Benefited 12,101 customers, renewal of Rs. 117.4 Cr
• Revamped STP CC Renewals: Benefited 793 customers, renewal of Rs. 40.16 Cr
• Revamped FD/RD through Mbanking: 3093 cr of FD/RD opened through Mbanking in FY 24-25
17.3 Debit Card Partnerships
In a move to enhance customer engagement and offer greater value, the Bank partnered with popular consumer brands to provide exclusive offers and rewards for debit cardholders. These partnerships included:
• Swiggy & Zomato: Discounts on food delivery
• BookMyShow: Movie ticket offers
• Amazon & Plutos: E-commerce rewards and cashback
Additionally, women-specific debit card was launched under women-centric SB/CA schemes, offering benefits like complimentary insurance coverage and partner coupons from Myntra, Swiggy, and more. These initiatives played a key role in boosting debit card usage and customer satisfaction.
17.4 Digital Campaigns
Throughout FY 2024-25, the Digital Banking Department ran several targeted digital campaigns aimed at driving product adoption, merchant onboarding, and user engagement. Campaigns focused on promoting mobile banking activations, QR code and Soundbox installations, and digital repayment channels. Focused marketing and outreach initiatives helped deepen penetration in semi-urban and rural areas, aligning with the Bank's financial inclusion goals. The major campaigns conducted were:
• DigiKritva
• DigiShresth
• DigiLakshya
• DigiConnect
• Digital Premier League
• Digital Champions Trophy
17.5 Future Initiatives for FY 2025-26:
a) Digital Lending - New STP Journeys: To continue the momentum of Project Parivartan, the Bank is engaged to rollout 12 additional Straight Through Processing (STP) journeys. These journeys will automate and digitize Retail, MSME, and Agri loan processes for improved customer convenience and reduced turnaround times.
b) Digital Marketing & Fintech: In partnership with top fintech and e-commerce platforms, the Bank plans to enhance digital outreach and fintech integrations through Strategic tie-ups with large E-commerce companies, adoption of Robotic Process Automation (RPA) for digital marketing tools, Centralized collection management via digital platforms and added WhatsApp Banking features.
c) Mobile Banking / E-Banking Enhancements
d) ATM Enhancements
These initiatives are set to position the Bank at the forefront of digital banking transformation, with a strong customer-centric and innovation-driven strategy for FY 2025-26.
18. CYBER SECURITY (CISO)
• Bank has set up State-of-the-Art Cyber Security Operations Center (CSOC), operational on 24*7 basis.
• NCIIPC has identified, Bank's CBS, RTGS & UPI systems as a part of its critical infrastructure.
• Bank has directly integrated with Threat Dissemination Platform (TDP) of CERT-In and NCIIPC.
• To reinforce our Cyber Security capabilities, Bank's Cyber Security Operations Centre (CSOC) has forged a partnership with the Cyber Security Centre of Excellence, Govt. of West Bengal.
• Bank has ISO 27001 certifications for IT Systems across Data Centres of the Bank. The Certification has been issued by International Standards Organization (ISO) and Bank has undergone a stringent evaluation process by an independent third-party assessor during the sustenance audit. The ISO 27001 certification fosters trust and demonstrates an ongoing commitment for safeguarding customer data.
• In compliance with cyber security Framework of RBI, Bank has Cyber Security Policy, Information Security Policy and Cyber Incident Response & Recovery Management Policy & Cyber Crisis Management Plan, to provide direction and support for cyber security related functions and operations within the Bank. The policies are updated on periodic basis as per guidelines received from the Regulatory Authorities.
• To address cyber risks arising out of human vulnerability, Bank puts concerted efforts in raising cyber awareness of our staffs and customers through various cyber awareness initiatives and campaigns.
> Publication of Cyber Awareness Booklets in Hindi & English Languages like 'Cyber Netra :Comic Booklet', 'Decoding the Web of Online Scams', & eArticles on Money Mule Scam Awareness, Cyber Smart Vision for Women empowerment etc.
> Monthly observance of "Cyber Jagrookta Diwas" on the first Wednesday of every month with engaging workshops, interactive sessions, creative events, outreach campaigns at schools, colleges, NSG Commandos' Training Centre, SU/ Rural Centre (Baruipur), Customer Meet & Awareness Sessions are organized for staff members & valued customers (100% participation of 43 zones since twice consequetive years).
> Bank has collaborated with Data Security Council of India (DSCI), enhancing its cyber awareness initiatives with strategic industry insights, emerging threat intelligence, and financial sector-specific best practices.
> Cyber Security" Dedicated Corner at Bank's Official Website (www.ucobank.com) for dissemination of Cyber Security Awareness messages.
> Sharing of Cyber Security Awareness Email Advisories to Staff Members , Customers including newly on- boarded customers & also Bank's shareholders.
> Daily Cyber Safety Tips as well as Weekly Jagrookta Series are shared through online platforms.
> Live Webinar for Customers on Unauthorised Electronic Banking Transaction Reported Cases & also in observance of National Cyber Security Awareness Month.
> Frequent uploading of Social Media Post, Cyber Awareness Videos featuring Cyber Rakshak, advisories, reels, memes as well as Retweet of Government posts like ISEA, CERT-In, CyberDost etc.
> Display of Cyber Awareness Posters at prominent places.
> Display of Cyber Awareness Messages using Bank's Digital Channels.
> Usage of Push Notification, SMS, Email, Broadcasting of Radio Jingles through FM Radio Station.
> Mock social engineering drills on periodic basis to evaluate the promptness of our staffs and onsite third party vendors, in detecting and reporting cyber incidents.
19. OPERATION AND SERVICES
Bank is continuously emphasizing on enhancing the quality of customer service. It recognises the need for constant improvement in customer experience and aims to enhance the quality of customer service so as to ensure that our customers feel that they are valued.
The Bank has taken the following initiatives for improvement in customer experience during the year 2024-25:
19.1 Inauguration of PULSE, a state-of-the-art transaction monitoring system which works on:
"Platform statistics & contra core system: that captures live view of transactions hitting EFRM solution and their response back to source to locate any unusual spike through pictorial detection.
• EFRM Debit alerts that tracks alert count generated per account and per channel
• ADC dashboard Monitoring: that provides a holistic view for monitoring of transactions done through ATM, RTGS, NEFT, IMPS and UPI to locate any spurt and abnormality at GL level
• Credit transactions monitoring: that tracks unusual high volume credit inflow and debit outflow at individual account level based on mule propensity model that considers parameters like account opening date, change in KYC details, debit and credit patterns, maintenance of minimum balance etc.
• Robust mechanism for detection of mule: score propensity model was validated using the data reported as fraudulent in I4C. Based on the scores generated and threshold set with reference to this data, the model was deployed on our internal data set leading to identification of predicted mule accounts.
• AI/ML based alert generation: outlier detection model approach has been implemented to detect fraud transactions in ATM/POS/ ECOM, UPI, IB, MB, AEPS channel based on transaction amount, location, time, and user behaviour to generate risk scores for each transaction attempted.
• Graphical Relationship Analysis: to trace the flow the transactions involving accounts reported to I4C as fraudulent showing which account transfers funds to others and its frequency.
19.2 Launch of a range of new services on our UDAY Chatbot and introduce exciting enhancements to our IVR system.Unique NLP feature of UDAY Chatbot
It has ability to understand customer context and intent to respond naturally and accurately. UDAY has advanced techniques like intent classification, sentiment analysis and context tracking to interpret user inputs and enhance conversational relevance.
Chat with Agent video call support facility
Customers can connect with live Customer Service Associates for real time assistance through chat or video call support. This enhances customer experience by combining visual interaction with personalized support.
Other new features of UDAY
• Account Balance
• Account Mini Statement
• Holiday Calendar
• ATM Locator
• EMI Calculator
• Loan Accounts Interest Certificate
• Deposit Accounts Interest Certificate
• Debit Card Blocking
• Re-KYC Submission
• Cheque Book Request
• Cheque Stop Payment
• Debit Card Issuance
• Set/Reset Debit Card PIN Enhancements in IVR System
• AEPS Disable/Enable Self-Service
• E-Banking Disable/Enable Self-Service
19.3 Mechanism for tracking Customer Friendly behavior by frontline staff.
• Usher in Customer Experience transformation entailing change in overall culture.
• Capturing of customer experience through feedbacks collected from various channels.
• Rewards for Top Performing branches / employees imparting excellent customer service.
19.4 Online Nomination Facility with Aadhaar based authentication.
19.5 API Integration with I4C portal for effective management of Cyber Crime Complaints.
20. STRATEGIC PLANNING: MIS & ADF CELL
During the last financial year, the Data Analytics Cell has made significant developments in enhancing operational efficiency and enabling data-driven decision making across the Bank.
20.1 Some of the key initiatives and accomplishments are as follows:
a) Implementation of LIVE Dashboards:
Multiple LIVE dashboards have been developed and implemented, offering real-time or near real-time insights into key business metrics. These dashboards have played a crucial role in enhancing operational efficiency by enabling continuous, data-driven monitoring of business performance across various verticals. Notably, the Target vs. Gap to Target in LIVE Business dashboard has facilitated improved tracking and timely action at all department levels, significantly supporting business goal achievement.
b) Cash-in-Hand LIVE Dashboard:
A crucial dashboard titled Cash-in-Hand LIVE has been introduced, displaying the current cash position of all branches. This has facilitated better cash management across the Bank, resulting in optimized cash holdings and improved CRR (Cash Reserve Ratio) compliance.
c) NPA Monitoring Dashboard:
A LIVE dashboard for monitoring accounts that are at risk of becoming NPAs within the next two weeks has been developed. Real-time tracking of credit inflows into these accounts has empowered branches to take proactive measures, thereby reducing slippage and enhancing asset quality management.
d) AI & ML-Based Cross-Selling Models:
AI & ML models have been successfully deployed to identify potential customers for cross-selling home and car loans from the existing customer base. These models have already generated a significant number of qualified leads, thereby contributing to business growth and enhancing both operational and marketing efficiency. Several additional AI & ML models are currently under development and are scheduled for rollout in the current financial year.
Furthermore, a sentiment analysis model has been implemented to evaluate customer feedback posted across various social media platforms. The insights derived have been segmented and presented through a dedicated dashboard, which is being actively utilized by multiple departments to enhance customer service quality and overall engagement.
In addition, complaints registered through the OGRS portal have been categorized by type and visualized through a structured dashboard. This has enabled departments to address grievances more effectively and ensure timely resolution through continuous monitoring and follow-up.
e) Detection of Potential Mule Accounts:
A key achievement has been the development of an AI model to detect potential mule accounts. The corresponding dashboard is actively monitored by the EFRMS Cell and has played a significant role in fraud prevention, thereby safeguarding the Bank's integrity and financial health.
f) Deployment of NLP-Powered Chatbots:
Leveraging Natural Language Processing (NLP), several chatbots have been developed to assist employees with queries related to HRM, Credit, and Personnel Services etc. These chatbots are currently in use and have improved internal service delivery and support efficiency. This initiative places us among the few Public Sector Banks to successfully implement such smart solutions.
g) Initiation of Robotic Process Automation (RPA):
The Bank has also embarked on the automation of repetitive tasks through Robotic Process Automation (RPA), aimed at reducing manual intervention and improving turnaround times. This will further augment operational efficiency and resource optimization.
20.2 Upcoming AI & ML Models.
• NPA Forecasting Model: For early warning signals and risk mitigation.
• Google Review Sentiment Analysis: For understanding and addressing customer feedback more effectively.
• Call Centre Call Analysis: To extract insights for service quality improvement.
• Potential Personal Loan Customer Identification: To support targeted loan marketing initiatives.
• Customer Churn Predictions: Based on customer transactions and RFM analysis, to predict customer churn and to arrest the same.
• Additional Models in Development: Focused on various operational and strategic areas to further drive efficiency and growth.
21. CORPORATE COMMUNICATION
Bank reinforces strong corporate reputation through its high degree of transparency and consistency in communication with stakeholders and also disseminates timely information with clarity, coherence and credibility including information through the websites of the Bank on real-time basis. Bank aims to inform, persuade and involve one and all in the activities and growth through sustained, consistent and relevant messages and using a judicious mix of both external and internal communication tools.
Bank has taken up multiple initiatives through various channels namely Print Media, Outdoor Media, sponsorship of different events, CSR activities and dissemination of requisite information to stakeholders to build and maintain the brand-image of a world class financial institution.
21.1 Publicity Campaigns:
Print Media/ Outdoor Media are an effective medium to connect to masses. The Bank has utilized it effectively by carrying out intensified and vigorous publicity campaigns throughout the year through hoardings, kiosks, traffic booths, banners, traffic cones, digital displays, magazines, newspapers etc.
During the brand publicity of the Bank, the Bank also ensures to publicize various banking products viz. Home Loan, Car Loan, Education Loan, Gold Loan, Deposit schemes, Digital Products, VKYC etc.
21.2 Celebration of 83rd Foundation Day:
The Bank completed 82 glorious years of service to the nation on 6th January, 2025. The occasion was celebrated with much enthusiasm and vigor across the country and overseas centers. Zonal Offices and branches across the country organized different activities viz. planting saplings, blood-donation camps, health check-up camps etc. A cultural programme was organized at Dhonodhanyo Auditorium, Alipore wherein staff members across the country participated and performed their talent.
21.3 Corporate Social Responsibility (CSR):
Bank believes that carrying out CSR activities help in tangible value creation. Moreover, CSR creates a positive image in the mind of customers and society at large. This creates a sense of belongingness and loyalty in existing and prospective customers.
The Bank has 27 RSETIs (Rural Self Employment Training Institutes) spread across country to impart training and skill up-gradation of rural youth geared towards entrepreneurship development.
Bank has taken up several CSR activities in the previous financial year like:
• Providing cohort training programmes for Bank's MSME customers.
• Contribution for acquiring vehicle equipped with 1000 Liter water tank for tree care initiative.
• Contribution towards purchase of E-Rickshaw to Mr. Jayanta Nath (Divyang) S/o Saru Nath of Sonitpur district, Assam
• Contribution towards providing drinking water bottles on a daily basis for religious yatris, construction of yatri niwas and purchase of vehicles for devotees.
• Contribution towards construction of public toilets, including Bio-Toilet.
• Contribution to Chief Minister's Relief Fund towards flood relief.
• Contribution towards modernization of Handloom weaving process.
• Contribution of 4-wheeler vehicle/jeep for the purpose of medical camps/awareness camps and carrying the medical facilities to rural areas and hilly areas.
• Contribution towards blood donation camps.
• Installation of Drinking Water Cooler Machine and procurement of essential equipment to enhance training capabilities to various institutions and schools.
• For supply and installation X-Ray machine air conditioner, Wheel Chairs and Stretcher to Community Health Centres and for purchase of ambulance.
• Contribution to NGO to enhance logistical & Infrastructural support for the intellectually challenged members and neuro-disabled individuals, including orphans and beneficiaries from below Poverty line (BPL) families.
21.4 UCO Tower:
Bank is also publishing the in-house magazine "UCO Tower" where all the constituents are encouraged to participate. UCO Tower also aims to create awareness of all happenings and activities of the Bank among all employees.
21.5 Social Media:
The bank's social media cell has made significant strides in amplifying our brand presence and visibility through strategic content creation and engagement initiatives.
Social media team has been proactive in crafting compelling and informative posts that resonate with our target audience. By focusing on highlighting the bank's unique value propositions and product offerings, we have successfully raised awareness about our brand across various social media platforms.
Understanding the importance of maintaining a positive brand image online, our team has diligently monitored sentiment across social media channels. Through timely responses to customer inquiries, addressing concerns, and fostering positive interactions, we have effectively managed sentiment and cultivated a favorable perception of the bank among our online community.
Overall, social media efforts have not only bolstered brand awareness but have also contributed to strengthening customer relationships and fostering a positive brand reputation in the digital sphere. As we look ahead to the upcoming year, we remain committed to leveraging social media as a strategic tool for achieving our organizational objectives and delivering value to our stakeholders.
22. HUMAN RESOURCE
Human Resource Management Department comprises of various Cells looking after different segments. All these cells worked in tandem during FY 2024-25 to create a harmonious and productive work environment. Training and workshop were organized for improving/enhancing the skills and knowledge of the staff.
22.1 Manpower Management:
• The Total staff strength of our Bank, as on 31st March, 2025 stood at 21049 employees including employees serving overseas. We have 13505 Officers, 5606 Clerks and 1938 Sub-Staff in our Bank as on 31-03-2025.
• Out of total staff of 21049, 4197 belong to SC, 1743 belong to ST, 5071 to OBC, 320 to EWS and 9718 to UR category.
• Out of total staff, 514 employees are person with bench mark disability (PwBD) and 1438 belong to the Minority Communities.
• There are 6136 Women employees, who constitute 29.15% of the Total Workforce as on 31st March, 2025.
• There are 1056 Ex-Servicemen as on 31st March, 2025.
22.2 IR Negotiation Cell:
During the period, the Industrial Relations climate in the Bank remained cordial between the Management and the Unions/ Associations. Meetings and discussions were held with Unions/ Associations at periodic intervals through mutually co-operative attitude and respect during the financial year 2024-25. In terms of RBI guidelines 100% compliance of mandatory leave achieved during FY 202425.
22.3 Recruitment Cell:
In F.Y. 2024-25, the Bank demonstrated its commitment to building a skilled and diverse workforce, recruiting 325 employees across key roles, including Risk Officers, Agricultural Field Officers and Customer Service Associates. 30 % of the newly recruited employees were women, reflecting our focus on gender diversity.
The Bank also engaged 250 apprentices during the year, fostering talent development and practical exposure for aspiring professionals.
Additionally, for F.Y. 2025-26 recruitment for 250 Local Bank Officers (LBOs) and 68 Specialist Officers have been initiated. Through IBPS, 161 Specialist Officers and 364 Customer Service Associate are to be recruited in F.Y 2025-26. Specialist Officers to be recruited include IT Officers, Agricultural Filed Officer, Chartered Accountant, Law Officer, Risk Officers, HR/Personnel Officers, Economist, Security and Fire Safety Officer to strengthen our workforce and enhance service excellence.
22.4 Training Cell:
Our Organization, being a part of one of the most dynamic industries, has to keep up with the constantly changing environment by continuously updating its workforce with various Training Programs in the concerned Fields. Training Programs are held aligning the corporate vision, mission and fulfilling the expectations of the Top Management. In FY 24-25, new Learning and Development Policy of the Bank was approved & implemented.
In FY 2024-25, 975 Executives, 12700 Officers and 4798 Sub-Staff, totaling 18473 were trained in Internal & External Training Programs conducted at our Executive Training Centre, Kolkata, 7 other Staff Training Centers, across India and from Reputed External Training Institutions. We also continued to sponsor our Executives & Officers in reputed External Training Institutes like NIBM Pune, BIRD Lucknow, SBIL Kolkata, NIBSCOM Noida, CAB (RBI), IIBF, CAFRAL, Manipal University, IIBM Guwahati and various reputed external Training Institutes across the country which helped them in acquiring a global competitive edge.
In FY 2024-25 some important Training Programs like Annual Forex Assembly, Programme on Gen-AI and Machine Learning, Data Analytics, ESG, Customized Program on Banking Compliance, Awareness Program for Women on Workplace Safety, Annual Refresher Training of Security Officers, Customized Training Program on Women Empowerment, Digital Transformation & Change Management, Transformation Training for New Zonal Heads, Preventive vigilance programme, Need based training for weak performers, and various customized training programmes including Leadership Development Programme were conducted. Competency Mapping Exercise was conducted for AGMs and DGMs. Skill Assessment Tests were conducted for all Officers and weak performers in the tests were imparted with Training programmes.
Bank has also conducted Webinar on Cyber Security/ Phishing Awareness Program in association with CISO Office for employees across branches/offices. In FY 2024-25, total of 591 employees were paid honorarium/incentive for passing Bank approved courses.
22.5 PMS Cell:
The bank has revamped its Performance Management System (PMS) through Samsiddhi Portal to ensure robust, transparent, and objective evaluation of all Officers/Executives up to Scale VII.
• Role based Appraisals through Samsiddhi application w.e.f. FY 2024-25.
• Foster accountability by setting clear goals and regular monitoring of progress.
• Improve KRA measurability thereby improving objectivity of the PMS.
• Objective / System driven data and tool driven role allocation to improve transparency, improve job satisfaction and reduce confusion or conflicts.
• Project Samsiddhi 2.0: Scientific Manpower Planning Tool for Officers and automation of Transfer process.
• One-stop Biodata from Samsiddhi for all Interview Process in Bank.
• Samsiddhi's Performance Leaderboard as well as Business category-wise Dashboard of Zonal Heads and Branch Heads in Bank's HRMS and Samsiddhi portal respectively.
• Policy on Rewards and Recognition Framework for Officers/Executives has been introduced for Performance Linked (Both Monetary/Non-monetary) Rewards which is applicable only for Officers / Executives posted in Business Generating Roles
22.6 Internal Complaints Committee (ICC):
Our Bank is committed to promote gender equality and women's empowerment which result in economic development and inclusive growth and benefit the nation as a whole.
In terms of creating safe workplace environment for women our Bank has constituted Internal Complaints Committees at Apex level as well as Local Level enforcing the rules as laid out in the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 for quick Redressal of such complaints, if any.
22.7 Reservation Cell:
Bank has been implementing reservation, relaxation and other concessions extended to SC/ST/OBC / Differently Abled Persons and Ex-Servicemen employees as per reservation policy of the Government of India. The overall representation as on 31/12/2024 of SC/ ST/OBC/EWS employees was 19.93%, 8.29%, 23.96% and 1.51%. Separate roster registers are maintained for direct recruitment as well as for promotion.
For SC/ST employees, reservation cell is set up at HO level and across all ZO level as per norms, functioning under the direct control of Chief Liaison Officer as well as Ex-officio Liaison Officer. Additionally Bank has formed separate OBC cell at HO level as well as ZO level which is functioning under the control of Chief Liaison Officer as well as Ex-officio Liaison officer.
Moreover Separate Grievance Redressal officer for PwBD and EWS employees has been created to look after their grievance.
During FY 2024-25, Bank has imparted training to 18488 employees out of SC-3435, ST-1550, OBC-4758, EWS-305 and PWD-474. Bank has imparted pre-promotional training to 1368 candidates for inter-scale promotion of officers, 187 candidates for promotion from Clerical to Officers and 205 candidates for promotion from Sub-ordinate to Clerical cadre belonging to SC/ST/OBC and PWD Category
In order to address the issues of SC/ST & OBC employees of the Bank, meetings are called at Apex level as well as at Zonal office level (Where reservation roster is maintained) with Welfare Association of such employees. An Internal Grievance Committee is functioning at Head office level for monitoring the grievances redressal of the employees belonging to SC/ST/OBC/Ex-SM/PWD, which are handled and subsequently redressed by the respective cell, as per Bank's extant policy and guidelines.
The Annual Statement in the prescribed format showing the representation of SCs, STs, OBCs, EWS and PWD as on 31-12-2024 is given in Annexure-I & Annexure-II .
23. AUDIT AND INSPECTION23.1 Risk Based Internal Audit (RBIA):
As per the Audit Plan for the FY 2024-25, RBIA has been conducted in total 2681 Branches. In order to identify gaps in business and control functions, we have elaborated the "Fraud Prone Areas" for focussed compliance by the Branches. Now, we have separate checklist for different business units such as, General Branches, Flagship Corporate, "B" Category, Asset Management, Loan Processing Hubs, Currency Chests, Service Branches, Central Pension Processing Centre (CPPC) Nagpur, Depository Participant Services. Frequency of RBIA depends upon its previous risk categorization i.e., Low Risk: 15-16 Months, Medium Risk: 12-13 Months, High Risk: 9-10 Months, Very High Risk: 8-9 Months & Extremely High Risk: 6-7 Months.
23.2 Concurrent Audit:
During the Concurrent Audit Cycle 2024-25 (October-2024 to September-2025, 891 Branches were identified (816 - Branches, 69 -Specialized Branches & 06 - Head Office Departments). By this more than 80% of the advances of the Bank have been brought under the ambit of Concurrent Audit. Audit of all units are conducted on a monthly basis. To strengthen the Concurrent Audit System, "Transaction Audit" by Concurrent Auditors is in place to ascertain genuineness of High Value Transactions.
23.4 Management Audit:
During the FY 2024-25, Management Audit of 34 Zonal Offices, 24 Head Office Departments was conducted. Management Audit of Paschim Banga Gramin Bank (RRB) sponsored by our Bank was also conducted.
23.5 Short Audit:
During the FY 2024-25, Short Audit was conducted at 285 Branches. Short Audit is carried-out for such Branches which was not covered under any form of Audit (Concurrent, RBIA, Statutory Audit) during the FY.
23.6 Revenue Audit:
During the FY 2024-25, Revenue Audit was carried-out at 1558 Branches to ensure that proper charges have been recovered on advances, deposits, expenditures and rendering different services.
Quarterly Inspection of Branch Cash, ATM Cash, Security Items, Gold Packets is in pace from quarter ended December - 2024.
23.7 Information System (IS) Audit:
The IS Audit System have been strengthened by including new vulnerable areas under its ambit. Following Audits are covered under IS Audit - (1) Application Audit, (2) Source Code Audit, (3) Process Audit, (4) Vendor Audit, (5) Database Audit, (6) Network Audit. (7) Vulnerability Assessment (VA) & (8) Penetration Testing (PT) of IT Infrastructure etc is conducted by qualified IS Auditors to protect IS Assets from threats and vulnerabilities, compliance with laws, regulations and internal policies.
23.8 Other Audits:
During the FY 2024-25, Half Yearly Audit of Bank Guarantees in121 Branches & Audit of all 98 Loan Processing Hubs was done.
23.9 Trainings:
In order to add expertise and enrich knowledge, necessary trainings were provided to Mobile Inspectors & Officials posted at Head Office, Audit & Inspection Department and different Filed Inspectorates. During the FY 2024-25 in-house training was imparted to 118 Mobile Inspectors and to 31 Executives/Officials by External Training Institute (IIBF).
24. VIGILANCE
The Bank upholds a robust and transparent vigilance administration that is seamlessly integrated into its management functions. Bank's vigilance framework is designed to foster ethical practices, professionalism, and operational efficiency while ensuring stringent monitoring, supervision, and control of various vigilance functions.
Under the aegis of the Central Vigilance Commission directives, vigilance administration in the Bank is led by the Chief Vigilance Officer, who oversees vigilance functions across the organisation. The Bank emphasizes Participative, Proactive, and Preventive vigilance as key pillars in maintaining a culture of transparency and compliance in its operations.
Vigilance Department plays a vital role in creating awareness across all levels on preventive measures. Additionally, it extends assistance to the field functionaries including Disciplinary Authorities, in the vigilance matters, enabling them to address their concerns effectively.
24.1 Milestones achieved
• Complaints - During the FY 2024-25, a total of 332 complaints were received from various sources including DFS, CVC, RBI, CBI & Others. Wherever vigilance overtone observed, such complaints were handled to their logical end within the timeline stipulated by CVC.
• Release of Vigilance Manual 2024 - Department has released Vigilance Manual during the Vigilance Awareness Week 2024, which incorporates latest CVC/ DFS guidelines, amendments to the Prevention of Corruption Act, 1988 and updates to Discipline & Appeal Rules.
• UCO VIGIL - In-house Quarterly Magazine is being published to promote the cause of transparency and integrity and to provide a platform for employees to contribute articles on various aspects to create awareness and highlight best practices related to the vigilance functions.
• Online Vigilance Clearance Module - With an aim to digitalise and step towards paperless system, Online Vigilance Clearance Module has been introduced by the department, thus reducing the manual intervention and Turn Around Time (TAT) to dispose the entries.
• Inter-departmental Co-ordination Meeting - Convening of Monthly Inter-departmental Co-ordination Meeting with Risk Management, Recovery & Law Departments under chairmanship of CVO to review the status of Fraud Reporting and ongoing investigations, Lodgement of Complaints, Handling of returned complaints, ABBFF related matters.
• Strengthening Ethical Practices and Promoting Preventive Vigilance with Mission Jagriti - Mission Jagriti is a preventive vigilance initiative focused on raising awareness and transparency within the organization. As part of this mission, officials from the Head Office made visits to various Zonal Offices to engage with staff and promote vigilance practices. These sessions aimed to educate employees through interactive methods such as presentations on real-life cases.
24.2 Key events observed
• IBA Committee Meeting - Department successfully organized a meeting of a seven-member committee, formed by the Indian Banks' Association under directives of DFS to look into the measures which enable ex-ante protection for bonafide business decisions and to recommend steps to be taken by bankers to prevent avoidable lapses, that lead to subsequent investigation by law enforcement agencies.
• Capacity Building & Training Programme on Vigilance Administration - A two-day "Capacity Building & Training Programme for Vigilance Officers on various aspects of Vigilance Administration and Disciplinary matters including the role of IO/PO etc." was conducted at Kolkata by the UCO Bank under the aegis of Central Vigilance Commission on the 13th and 14th of December, 2024. The program was attended by more than 110 participants, including dignitaries from the Central Vigilance Commission, MD & CEO of UCO Bank, Executive Directors of UCO Bank, Chief Vigilance Officers (CVOs) and Additional Chief Vigilance Officers/ nominated participants from various Public Sector Undertakings (PSUs)/ Public Sector Banks (PSBs) / Public Sector Insurance Companies (PSICs), comprising of officers from 11 zones & Head Office of UCO Bank.
The event was inaugurated by Shri A S Rajeev, Vigilance Commissioner, Central Vigilance Commission.
• Training arranged for Nodal Officers at all Zonal Offices, dealing with RDA matters on 23rd & 24th September, 2024 at Central Staff College, Kolkata.
• Training arranged for Inquiry Offices/ Presenting Officers covering all the zones on 20th & 21st January, 2025 at Staff Training College, Chennai.
• Bank observed Vigilance Awareness Week from 28th October, 2024 to 3rd November, 2024 on the theme pronounced by the Central Vigilance Commission, "Culture of Integrity for Nation's Prosperity".
The celebration commenced with the Integrity Pledge being taken by all executives, officers, and employees of the Bank, reinforcing their commitment to transparency and ethical practices. To enhance awareness, banners and posters were prominently displayed in branches and offices nationwide. Various engagement activities were organized, including online quiz competitions to test knowledge on vigilance-related topics and Awareness Gram Sabhas conducted by rural branches to educate the common man on integrity and anti-corruption measures.
Additionally, walkathons were organized by most of the zones to promote the cause, alongside town hall meetings at various centers to facilitate discussions on vigilance and ethical banking practices. Motorbike rallies were also conducted in select centers, drawing public participation and spreading awareness about the importance of integrity in day to day life.
25. OFFICIAL LANGUAGE
The Bank has always been proactive in the implementation of the Official Language Policy of the Government of India. The bank has taken appropriate follow-up action to implement various items of the annual program 2024-25, for the use of the Official Language Hindi, issued by the Government of India, Ministry of Home Affairs, Department of Official Language, and has made concreted efforts
to achieve the targets set therein. The Bank complied with the directions given by the Third sub-Committee of the Parliamentary Committee on Official Language/ Department of Financial Services, Ministry of Finance, Government of India.
For the outstanding work in the progressive use of the Official Language Hindi, the Department of Official Language, Ministry of Home Affairs, Government of India felicitated UCO Bank Head Office to Rajbhasha Kirti Award for the fourth consecutive year. In addition to it, Narakas (Bank), Kolkata (Coordinator: UCO Bank) has been felicitated with the 'Narakas Rajbhasha Samman' for its remarkable contributions in the field of Official Language.
25.1 Official Language Action Plan 2024-25
With the motivation and active support of the top management of the bank, the journey towards winning the Rajbhasha Kirti Award-the highest award for Head office, given by the Department of Official Language, Government of India, and the regional award for the zonal office, continues in line with the goals of the Rajbhasha Action Plan 2024-25
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UCO Bank G. D. Birla Memorial Lecture Series
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Head office and 32 zonal offices organized lecture series on various relevant topics. The vice chancellors, scientists, professors and other dignitaries were present on the occasion. Ms. Anshuli Arya, IAS, Secretary, Department of Official Language, Ministry of Home Affairs, Government of India was the Chief guest at the lecture series organized by the head office at Constitution Club of India, New Delhi.
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UCO Rajbhasha Samman
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The head office and 32 zonal offices awarded UCO Rajbhasha Samman to a total of 66 students who have attained the top position in post graduate (Hindi) from various universities in the country.
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25.2 Hindi Training
Training on Official Language Implementation and Unicode on computers was provided to 5800 officers and clerks through a total of 198 Hindi workshops organised at the Head Office and Zonal Levels.
The Official Language Officers of Scale 2 and 3 were trained at Central Staff College, Kolkata and the Officers of Scale 4 were trained at Indian Institute of Bank Management, Guwahati.
Central Staff College, Kolkata and all the Regional Training Centres imparted Hindi training to the personnel by incorporating all the aspects of the Official Language Policy of the Government of India in each of their training programmes.
In addition to above, 104 officers and clerks passed the In-service Hindi training (Prabodh, Praveen, and Pragya and Parangat) examination of Govt. of India.
25.3 Hindi publication
The Bank published a souvenir on the topic 'Retail and CASA: Two sides of business prosperity', which is a compilation of essays of the participants of the All-India UCO Bank Hindi Essay Competition. Along with this, the Bank itself published the Hindi In-house magazine 'UCO Anugunj' on a quarterly basis, published a souvenir on the short research thesis of the Chief Managers on Acharya Hazari Prasad Dwivedi and Sachchidananda Hiranand Vatsyayana 'Agyeya' and published a souvenir on the occasion of educational tour on the theme 'Indian Knowledge Tradition'. The annual In-house magazine of NARAKAS 'Nagar Prabha' was published. Apart from this, Hindi In-house magazines were also published by all the zonal offices and Central Staff College Kolkata.
25.4 Achievements:
a) For the best performance in the field of official language, the headquarters has received the Rajbhasha Kirti Award - Second
Prize
UCO Bank, Head Office received the prestigious Rajbhasha Kirti Award of the Government of India for compliance with the Official Language Policy. This award was received by Managing Director and Chief Executive Officer Shri Ashwani Kumar from the Hon'ble Minister of State for Home Affairs Shri Nityanand Rai on the occasion of the 4th All India Official Language Conference held at Bharat Mandapam, New Delhi on 14th September 2024.
b) Department of financial services incentive award to UCO Bank for excellent performance in Implementation of Official Language Policy of Government of India
The Consolation Award, for the best implementation of Official Language Policy during the year 2023-24 for UCO Bank under Sector "C" among the Banks/Financial Institutions/Insurance Companies controlled by the Department of Financial Services, was received by Shri Rajesh Nagar, General Manager, from Dr. Abhijit Phukan, Economic Advisor, Department of Financial Services.
c) Head Office receives NARAKAS Rajbhasha Samman-I for best performance in the field of official language
Narakas Bank (Kolkata) has been awarded the first prize for Narakas Rajbhasha Samman for the financial year 2023-24. This honour was received by Shri Rajesh Nagar, General Manager, Rajbhasha from the Chief Minister of Assam, Dr. Himanta Biswa Sarma at the Regional Official Language conference held in Guwahati on 05 March 2025.
d) UCO Bank Zonal Office Bhagalpur-Rajbhasha regional awards-II
The Department of Official Language, Ministry of Home Affairs, awarded the NARAKAS Rajbhasha Samman-II award for the financial year 2023-24 to NARAKAS Bank (Kolkata) for its excellent work in Official Language implementation. The honour was received by Shri Sanjay Nandurkar, Deputy General Manager, at the regional Official Language conference held in Guwahati on March 05, 2025 from Dr. Himanta Biswa Sarma, Chief Minister of Assam.
e) Narakas Roopnagar (Convenor - Lead Bank Office - Rupnagar) - Narakas Raj Bhasha Samman - Third
Narakas Rupnagar has been conferred the third award for Narakas Rajbhasha Samman for the financial year 2023-24 for outstanding work in Official Language Implementation by the Ministry of Home Affairs, Department of Official Language. The honour was received by Shri Manish Tripathi, lead bank manager, Rupnagar from Shri Bhajan Lal, Chief Minister of Rajasthan at the Regional Official Language Conference held in Jaipur on 16th February 2025.
f) Award for the personnel of the general cadre for excellent implementation of the official language.
Ms. Diljot Kaur, Manager, Zonal Office Chandigarh was honored, in the review meeting of Zonal Managers held in Diu on January 10, 2025, for the best implementation of Official Language Policy and maximum correspondence in Hindi.
6 of our officers won prizes in All India Inter Bank Essay Writing Competitions organized by Reserve Bank of India as well as other Nationalized Banks/Financial Institutions.
In the competitions organized by various banks/financial institutions/offices under the aegis of NARAKAS, 22 Branches/Offices and 35 employees of the bank got 18 First, 7 Second, 4 Third and 6 Incentive prizes.
Under UCO Bank Correspondence Incentive Scheme, 5 employees of the bank were awarded.
25.5 Official Language Activities
a) All India Official Language Officers Conference
The 12th All India Official Language Officers Conference was held for the bank's official language officers at the Central Staff College, Kolkata for three days.
b) UCO Bank 7th All India Inter Bank Hindi Essay Competition
Panel discussion and award distribution ceremony: In order to promote the official language Hindi in the bank, the All India Inter Bank Hindi Essay Competition - 2024 was organized on the topic of 'Retail and CASA - Two Aspects of Business Prosperity'. Winners were awarded at the Bank's Central Staff College, Kolkata.
Seminar on 'Bharatiya Gyan parampara-an introduction': Narakas (Bank), Kolkata (convenor-UCO Bank, Head Office) conducted an educational visit to Indian Institute of Technology, Kharagpur and a seminar was organized.
On the occasion of International Day of Disabilities -2024, an essay competition was organized for the differently abled personnel of the Bank on the topic 'Expectations of the differently abled from the society'.
25.6 Official Language Inspection
During the financial year 2024-25, the third sub-committee of the Parliamentary Official Language Committee conducted an Official Language Inspection of one of our zonal offices and the Documents and Evidence Committee conducted an official language inspection of one branch. The committee appreciated the efforts being made by the bank for the progressive use of official language Hindi.
The Department of Financial Services, Government of India conducted a Rajbhasha inspection of the Head Office. The Bank's Rajbhasha related work was appreciated by the Ministry.
In addition, 13 Zonal Offices and 10 Branches were inspected by the Regional Implementation Offices, Department of official language, Ministry of Home Affairs.
Official Language inspection of 20 zones of the bank and 11 departments of the Head Office was conducted by the Head Office.
25.7 Town Official Language Implementation Committee
In addition to the Head Office, convener of Narakas (Bank), Kolkata, our Ajmer, Bhagalpur and Baleshwar zonal offices and LDM Rupnagar under Chandigarh zone, LDM Nahan under Shimla zone and LDM Bilaspur under Dharamshala zone are the conveners of Narakas.
26. GENERAL ADMINISTRATION DEPARTMENT
Our Bank is committed towards promotion of renewable energy. We have received green energy certificate from CESC for our India Exchange Building.
As part of our commitment, we have installed three (3) Roof Top Solar panel of 30 KWP capacity at Executive Training Centre, New Town, 15 KWP at Science City Ahmedabad and 3KWP at New Cloth market Ahmedabad. We have identified 26 more Bank owned buildings across the country for installation of roof top solar energy of capacity around 698.8 KWP.
Bank has initiated centralized issuance of chequebooks and has also entered into a tie-up arrangement with India Post for dispatch of chequebooks.
27. COMPLIANCE
At UCO Bank, we recognize the important role that strong relationships with regulatory bodies play in our commitment to compliance and transparency. We actively engage with regulators through diverse channels and initiatives to promote trust and uphold our responsibility to treat customers fairly while effectively mitigating risks. By aligning our strategic priorities, we strive to foster a robust compliance culture throughout the Bank.
Regular meetings with regulatory authorities are essential to our engagement strategy. These sessions create a platform for open dialogue, allowing us to proactively address regulatory concerns, seek invaluable guidance, and share updates on our operational activities.
The bank has established an independent Compliance Department, led by the General Manager and Chief Compliance Officer, dedicated to ensuring adherence to a wide range of statutory and regulatory guidelines that govern our operations.
The primary function of this department is to oversee compliance with statutory, regulatory, and internal guidelines for both domestic and international operations. It acts as the single point of contact for the Reserve Bank of India (RBI) and ensures the seamless implementation of Risk-Based Supervision (RBS) in alignment with the current SPARC framework.
Our Board has approved a comprehensive Compliance Function Policy, which is crafted in accordance with RBI guidelines and undergoes annual reviews and updates. This policy articulates the compliance philosophy of the bank, defines the role and structure of the compliance vertical, and outlines the composition of its staff and their specific responsibilities.
Further, the Compliance Department conducts regular testing exercises to verify adherence to RBI guidelines and instructions, thereby reinforcing our commitment to maintaining high standards of compliance and operational integrity.
During FY 2024-25, to further enhance compliance monitoring, the bank has launched the Compliance Manager Tool, which harnesses advanced technology to create a comprehensive, enterprise-wide compliance solution featuring integrated workflow tools. This innovative tool streamlines internal processes and promotes efficiency in compliance oversight.
Further, the bank has introduced an individual-level compliance self-certification tool aimed at cultivating a strong culture of compliance in a dynamic environment. Each employee will submit self-certifications quarterly, with specific regulations assigned according to their role or job profile. This tailored approach ensures that compliance requirements are relevant and applicable to each employee's daily work responsibilities.
The Compliance Department plays a critical role in overseeing the compliance functions of our overseas establishments, ensuring they adhere to their respective territory-based compliance policies as well as KYC, AML, and CFT standards. Each overseas branch is equipped with a dedicated compliance officer who is responsible for managing compliance activities specific to their location.
These branches diligently comply with all applicable regulatory requirements set forth by their host countries and regularly submit confirmations and compliance sustainability reports. This robust oversight framework ensures that we maintain a high standard of compliance globally, safeguarding our commitment to regulatory integrity and responsible banking practices.
28. BOARD OF DIRECTORS28.1 Corporate Governance
The Bank is dedicated to upholding strong Corporate Governance, guided by its core values of transparency, professionalism, and accountability. By embedding these principles into its operations, the Bank strives to maximize the shareholder value while maintaining integrity in all its dealings.
To ensure effective oversight, the Board of Directors has established various specialized committees to monitor key aspects of the Bank's business. Additionally, the Bank conducts regular reviews of its systems and processes at multiple levels to proactively identify and address potential vulnerabilities, fostering resilience and operational excellence.
The Board firmly believes that sound governance is fundamental to building trust, loyalty, and goodwill among the clients, business partners, employees, and investors. Furthermore, it reinforces the Bank's reputation as a responsible and respected institution within the society.
28.2 Changes in the Board of Directors
• The tenure of Dr. Sanjay Kumar, Govt. Nominee Director on the Board of the Bank concluded on 12.05.2024.
• Shri. Sudhir Shyam, has been appointed as the Govt. Nominee Director on the Board of the Bank w.e.f. 13.05.2024.
• The tenure of Shri. Rajesh Kumar, RBI Nominee Director on the Board of the Bank concluded on 04.08.2024.
• Dr. Sarada Prasan Mohanty has been appointed as the RBI Nominee Director on the Board of the Bank w.e.f. 05.08.2024.
• Shri. Pramoda Ranjan Mishra, the Shareholder Director of the Bank has tendered his resignation from his post w.e.f. 14.11.2024 on account of his selection as the Chair Professor of National Insurance Academy, Pune.
• The tenure of Shri. Anjan Talukdar and Shri. Ravi Kumar Agrawal, part-time non-official directors concluded on 20.12.2024.
• As part of its commitment to sound governance, the Bank has nominated Ms. Rachna Khare as Shareholder Director, effective January 10th, 2025. Her expertise and leadership will further strengthen the Bank's governance framework and strategic direction.
28.3 Meetings of the Board of Directors & its various Sub-committees
Details of meeting held during the FY 2024-25 is as follows:
Twelve meetings of the Board of Directors were held. The number of meetings of various Committees of the Board held during the period is given below:
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Sl. No.
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Name of the Committee
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No. of Meetings held
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1.
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Management Committee of the Board
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15
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2.
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Audit Committee of the Board
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09
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3.
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Risk Management Committee of Board
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07
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4.
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Stake Holders' Relationship Committee of Board
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01
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5.
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Special Committee of the Board for Monitoring of Large Value Frauds
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03
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6.
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Customer Service Committee of the Board
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04
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7.
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Committee on HR Related Issues of the Bank
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08
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8.
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Nomination and Remuneration Committee of the Board
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01
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9.
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Committee of the Board for Disposal of Appeals against Non-Promotion
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01
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10.
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IT Strategy Committee of the Board
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05
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11.
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Board Level Committee for Monitoring Recovery in NPA Accounts
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04
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12.
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Review Committee (Wilful Defaulters)
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03
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13.
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Performance Evaluation Committee of the Board
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01
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14.
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Credit Approval Committee
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33
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15.
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Meeting of Independent Directors
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02
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16.
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Board Level Corporate Social Responsibility Committee (BLCSRC)
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02
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28.4 Statement of Directors' Responsibility
The Board of Directors confirm that in the preparation of the annual accounts for the year ended March 31, 2025, the applicable accounting standards have been followed along with proper explanation relating to material departures, if any. The accounting policies framed in accordance with the guidelines of Reserve Bank of India, were consistently applied. Reasonable and prudent judgments and estimates were made so as to give a true and fair view of the state of affairs of the Bank at the end of the financial year and of the profit of the Bank for the year ended March 31, 2025. Proper and sufficient care was taken for the maintenance of adequate accounting records in accordance with the provisions of applicable laws governing banks in India; and the accounts have been prepared on an on-going basis. Internal financial controls have been laid down by the bank for ensuring orderly conduct of business.
28.5 Acknowledgements
The Board of Directors of the Bank welcomes Shri Sudhir Shyam, Govt. Nominee Director, Dr. Sarada Prasan Mohanty, RBI Nominee Director and Ms. Rachna Khara, Shareholder Director nominated on the Board during the year 2024-25 and look forward for their valuable inputs towards the growth of the Bank. The Board acknowledges the valuable contributions of Dr. Sanjay Kumar, Govt. Nominee Director, Shri Rajesh Kumar, RBI Nominee Director, Shri Pramoda Ranjan Mishra, Shri Anjan Talukdar and Shri Ravi Kumar Agrawal, both part-time non-official Directors of the Bank, whose tenure completed during the financial year 2024-25.
The Board thanks our customers, vendors, shareholders, business associates and correspondent banks for their continued support during the year. The Board remains thankful to the Government of India, Reserve Bank of India and other regulatory authorities for their support and valuable guidance and look forward to their continued support in the future.
The Board also thanks the staff unions/associations for the support extended by them. The Board place on record their deep appreciation for the dedication and contribution made by each employee at all levels. Our resilience to meet challenges was made possible by their hard work, solidarity, co-operation and support.
1
Share of low cost deposits (CASA), in domestic deposits decreased from 39.25% as on 31.03.2024 to 37.91 % as on 31.03.2025.
2
Lending to Micro Enterprises stood at Rs. 22,957 crore as on 31.03.2025 which constituted 13.52% of ANBC as against the mandatory target of 7.50%.
3
34 Zones have achieved MSME business target of FY 2024-25.
4
UCO Utkarsh" Scheme aims at providing financial support at preferential terms to students who have secured admissions in Premier Educational Institutes.
• Aspire 2.0 - loan scheme for financing meritorious student for study abroad with improved features.
• PM Vidyalakshmi scheme-Pradhan Mantri Vidyalaxmi" (PM-Vidyalaxmi), a Central Sector Scheme to provide financial support to meritorious students so that financial constraints do not prevent any youth of India from pursuing quality higher education.
10.3 Modifications In Existing Guidelines:
• Introduction of Flexi NACH Mandate in retail loans for enabling flexible repayment option.
• Revamping of Gold loan scheme was also carried out during the FY 2024-25.
• UCO Skill loan scheme modified.
• Introduction of Nomination facility for gold loan accounts.
5
Bank has increased the number of Specified persons (SP) substantially for the FY 2024-25 for felicitating Bancassurance business as per regulatory guidelines.
6
Identification of accounts for referring to NCLT and invocation of personal guarantee through NCLT and attachment of their properties.
• Restructuring and allowing handholding operations in eligible cases.
• OTS in eligible NPA accounts both under "Lakshya Rin Mukti" and Normal OTS Scheme.
• Introduction of UCO Adalat concept for one to one negotiation with borrowers from HO/ZO through senior executives to explore the OTS/Resolution of the accounts. Preferably, every third Friday of the Month would be this camp day.
• Participation in National Lok Adalat for recovery in small accounts.
• Organising special recovery campaigns such as "Kishan Karz Mukti Yojana" for KCC borrowers and "Mudra Manthan" for Mudra accounts.
• CIBIL updation of the default borrowers.
• Contact with NPA borrowers for up-gradation and recovery in soft NPAs as well as old NPAs through War Room and Cluster Approach.
• Timely marking of NPA in respective portal and claim for all accounts covered under CGTMSE / ECGC etc in timely manner.
• Follow up for reduction of NIL performing Branches.
7
Bank has strengthened the Legal Management System with the objective to facilitate different departments at Head Office & Zonal Offices for monitoring status of SARFAESI actions, legal matters etc. for effective monitoring and early resolution of accounts.
• Mega Recovery Camps are being organized to augment recovery in NPA accounts.
• Mega e-auction of properties under SARFAESI is being conducted on regular basis. Properties in NPA accounts are uploaded and put for auction on BAANKNET 'e-Bikray' a common web portal of PSB Alliance Pvt Ltd.
14. CREDIT MONITORING
14.1 Bank has strengthened Credit Monitoring mechanism through Enhanced Monitoring as under:
• Early Warning Signal System (EWS): EWS system has been extended and a software package has been implemented which is capable of generating 42 EWS triggers as suggested by RBI along with 84 EWS triggers as suggested under EASE (Enhanced Access and Service Excellence) Agenda. Also, 3 customised alerts have been implemented under EWS. New EWS Framework based on exposure has been introduced w.e.f 22nd Mar'24 and the maker-checker concept has also been implemented in the said framework. One new EWS Alert C4-addition of beneficiary in e-Banking /Corporate m-Banking in CC/OD account has been introduced.
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