The state-run Union Bank of India at Rs 1,80,000 crore has recorded a business growth of 22.18% during the year 2007-08. While bank’s deposits grew by 22.41% to Rs 1,04,272 crore as against the mark of Rs 85,180 crore a year ago, the advances rose by 19.77% to touch Rs 76,244 crore. However, there is a likely slowdown expected in the credit growth for the bank in the new fiscal, said . RS Reddy, executive director of the bank adding that the bank would announce its results in May.“Our credit growth may be moderated to 20% for the year gone by which was lesser than the target of credit growth of 21-22% for the year.
Meanwhile, launching the reverse mortgage scheme of his bank in Mumbai on Friday, Reddy said,?With the government clearing doubts over the various contentious issues related to the product, we hope that there will be some growth in the newly emerged sector of reverse mortgage and hence we have projected an outlay of Rs 1,250 crore for the product during the current fiscal?. The maximum amount of the loan that can be availed under the scheme, which was meant for the senior citizen, is Rs 50 lakh and the maximum tenor of the loan is 15 years.
