HP has low demand for credit, says UCO bank CMD

Shimla, Sep 28 (UNI) Since Himachal Pradesh has low demand for credit, the banking sector in the state is looking for investment opportunities outside the state, UCO Bank's Chairman cum Managing Director (CMD) S K Goel today said.

Addressing mediapersons here, he said it was not fair to accuse the banks of treating Himachal as a deposit state and making the investments elsewhere.

''The UCO bank is willing to extend finance to various sectors, but hardly anybody comes forward to take credit in the state.'' Despite Himachal has one of the best loan recovery records in the country, the banking sector was on a lookout for more investment opportunities outside the state, he said.

Mr Goel, who was here in connection with Board of Directors meet of the banks, said that Rs 160 crore loan facility for Himachal's agriculture sector was cleared by directors earlier today.

In 23 branches across the country, he said the bank proposes to introduce special senior citizens counters.

He said core banking solutions would help to extend online banking from 300 to 600 branches by the end of this financial year.

The CDM said since Himachal was a 100 per cent financial inclusive state, talks for making it a technological inclusive state with Reserve Bank of India (RBI) and the state government were in an advanced stage.

Against a profit of 316 crore in 2006-07, the bank was likely to achieve a profit of Rs 450 crore this year, he said, adding that it was also trying to bring down to 2.4 per cent.

UNI