UCO Bank seeks Rs 800 cr to raise capital adequacy ratio

UCO Bank has sought Rs 800 crore from the Union Government to boost its capital adequacy ratio and fund its growth needs. The bank recently raised Rs 1,000 crore by way of lower tier-II bonds. The bank’s capital adequacy ratio deteriorated as on March 31 to 12.35 per cent from 13.71 per cent as on March 31, 2011. As on September 30, it further fell down to 12.27 per cent. As on March 31, the bank’s tier-I capital was at 8.09 per cent, indicating scope for the bank to raise tier-II capital for maintaining the ratio. The bank aims to achieve 20 per cent growth in business this year.