Talking to newspersons Union Bank Deputy General Manager S Govindan said these new current account would be a part of the bank's Core Banking Solutions. The account holder becomes entitled to a wide range of benefits, based on an average monthly balances ranging from Rs 50,000 to Rs 10 lakhs, like remittances, collection of cheques and intersol transactions.
''The bank is giving a major thrust for the growth of the current account business,'' Mr Govindan said.
The bank has targeted deposits worth Rs 8,623 in current accounts, which was Rs 5,978 crore in 2006-07, he said.
Speaking about other growth targets, Mr Govindan said, ''We aim to increase the deposits to Rs 1,5,000 in 2007-08 from Rs 85,180 crore in 2006-07.'' The bank has targeted advances of Rs 80,000 in 2007-08 from 63,658 crore.
Current and Savings Account(CASA), as percentage of the total business, would reach 40 per cent by 2010 and 36 per cent by 2008.
The bank would also create two Core Processing Centres(CPC) in the city for retail and credit. CPC for credit would focus on all credit related application while the other centre designed for retail would look into housing,car, personal loans etc.
The bank plans to increase its branch network from 110 to 125 in India, out of which 20 would be in the eastern region.
The bank would open a few overseas branches including one in Hongkong and Beijing. A represenbtative office has been planned in UAE. The bank , in its first overseas venture, has opened a branch in Sanghai recently.
The bank aims to reach a business mix of Rs 1,85,000 crore by the end of March 2008, registering a growth of 25 per cent.
The bank has registered an operating profit of Rs 2001 crore in 2006-07 against Rs 1466 crore in the previous year.