Bank of India gains 11% on reports of Rs 70-billion recovery worth SLOCs

The stock gained 11% to Rs 105 on the BSE in early morning trade on reports of the state-owned bank recovered Rs 70-billion worth Standby Letters of Credit (SLOCs) in the last two months.

Bank of India has gained 11% to Rs 105 on the BSE in early morning trade on reports of the state-owned bank recovered Rs 70-billion worth Standby Letters of Credit (SLOCs) in the last two months.

The balance of Rs 20-billion would be recovered in another two months. The total recovery will substantially improve the Bank's balance sheet; the PTI report suggested quoting Bank of India Executive Director N Damodharan.

The bank has embarked on a plan, following restrictions from RBI on it under the Prompt Corrective Action (PCA) framework, it added.

Bank of India hit a