Kolkata: City-based United Bank of India (UBI), which reported losses for the last seven quarters, is expecting to come out of the prompt and corrective action (PCA) list of RBI in the second quarter of the current financial year, a top official of the bank said. “We should be coming out of PCA by the second quarter of 2019-20. Things are happening the way we have strategised,” Ashok Kr Pradhan, MD and CEO of UBI told PTI. Pradhan said that the bank is not growing due to lack of capital. “However, the government has given us capital support. Last year the bank got Rs 5000 crore which will help us to meet the regulatory requirements”, Pradhan said. Also Read – Bengal family worships Muslim girl as Goddess Durga in Kumari Puja He said that the bank is increasing the asset book by changing the risk-weighted asset portfolio. “The bank is increasing the advance book by managing the risk-weighted exposures. Earlier, the asset book was tilted towards risky assets. Now we are going for AA and AAA rated accounts”. He said that UBI had received around Rs 4500 crore through NPA resolution during the last year. “Our GNPA should be in the range of 15 per cent to 16 per cent by March 2019, down from 21.27 per cent earlier”. Also Read – Bengal civic volunteer dies in road mishap on national highway Pradhan said “this last quarter we expect to be in profits and continue for the rest of the period quarter-on-quarter”. RBI had imposed PCA on the bank in December 2017 which had led to restrictions on lending, non-opening of new branches and non-recruitment of staff as the cost-to-income of the bank was adverse. The advance book of the bank increased Rs 4000 crore during the last financial year with advances presently touching Rs 73,000 crore. Pradhan said “The target this year for advances should touch Rs 80,000 crore and deposits at Rs 1,35,000 crore”. He said that capital would be required for growth of the bank. “We will raise capital from the market, maybe in the third quarter. “We will also raise Rs 100 crore from the employees through Employees Stock Purchase Scheme”, he said. Since the bank is located in the east, its growth had been constrained due to lack of growth in this part of the country for which it wants to have an ambitious target. In the current fiscal, the retail sector is expected to grow by 20 per cent, MSMEs by 22 per cent to 24 per cent and agriculture eight to ten per cent, he said. “We will be very selective on the corporates and to take exposure in AA and AAA rated accounts”, Pradhan added.