United Bank of India net loss at Rs 2.6 billion on bad debt provisioning

Provisioning for non-performing assets was Rs 13 billion, as compared to Rs 7.5 billion in January-March 2017

On account of a high level of bad debt and provisioning for it, government-owned United Bank of India (UBI) reported a net loss of Rs 2.6 billion for the March quarter. In the same period a year before, it had a net profit of Rs 735 million. 

For the entire financial year of 2017-18, it had a net loss of Rs 14.5 billion, against a net profit of about Rs 2 billion in 2016-17. 

Pawan Bajaj, managing director, told Business Standard they would seek Reserve Bank of India and government permission to use about Rs 14 billion from their share premium account