Deposit Surge, Credit Boom: UCO Bank Posts Double-Digit Growth in June 2025 Metrics

Updated: July 03, 2025 15:46

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UCO Bank has reported a robust financial performance for the quarter ending June 30, 2025, with total deposits and advances showing strong yearonyear growth. The public sector lender continues to build momentum across its core banking operations, reflecting improved customer confidence and strategic lending expansion.

Key Highlights from June 2025 Performance

Total deposits rose 11.57 percent yearonyear, indicating sustained inflows from retail and institutional customers
Gross advances surged 16.58 percent compared to June 2024, driven by growth in retail, agriculture, and MSME segments
The credittodeposit ratio improved significantly, suggesting better asset utilization and lending efficiency
The bank’s RAM (Retail, Agriculture, MSME) portfolio continues to outperform, contributing a sizable share to overall advances

Operational Strength and Strategic Focus

UCO Bank has expanded its branch network to over 3,200 locations, with a strong presence in semiurban and rural areas
The bank’s digital initiatives and simplified loan processing have helped attract new borrowers and deepen customer engagement
Improved asset quality and provisioning discipline have supported the bank’s lending confidence

Market Impact and Investor Sentiment

The doubledigit growth in deposits and advances is expected to bolster investor sentiment and support future capitalraising plans
Analysts view the performance as a sign of operational resilience amid evolving macroeconomic conditions
The bank’s focus on granular deposits and diversified credit exposure positions it well for sustained growth

Forward Outlook

UCO Bank aims to further strengthen its RAM portfolio and expand into emerging sectors such as green finance and digital lending
Continued emphasis on compliance, risk management, and customercentric innovation will be key to maintaining growth momentum
The bank is expected to release its full quarterly financials later this month, which may offer deeper insights into profitability and asset quality trends

As UCO Bank closes the June quarter with solid growth in both deposits and advances, the numbers reflect more than just financial expansion—they signal a renewed phase of strategic execution and market relevance.

Sources: ICICI Direct, UCO Bank Corporate Filings, Economic Times, CARE Ratings, Business Standard, MSN News, BSE India

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