
UCO Bank, a public sector bank, is gearing up for a major digital transformation. According to the Managing Director, Ashwani Kumar, the bank has allocated Rs 1000 crore for this initiative, which is a significant increase of 43% compared to the previous year’s expenditure.
Kumar emphasized the importance of UCO Bank joining the digital revolution that is taking place across various sectors. He believes that this move will not only enable the bank to offer a wider range of products but also boost its income in the future. As part of the digitization efforts, the bank will focus on enhancing its overseas core banking solution and upgrading its cyber security and treasury-related IT systems.
It’s worth noting that the proposed IT spending is unrelated to a previous technical glitch in the immediate payment service (IMPS). In November last year, the bank accidentally credited Rs 820 crore to account holders due to this glitch. However, the bank has managed to recover Rs 728 crore from these account holders as of March. Kumar reassured that the bank has taken measures to tighten its systems and processes following the incident.
In addition to the digital transformation, UCO Bank also has plans to expand its physical presence. The bank aims to open 130 more branches in the current financial year, a significant increase compared to the 28 branches it added in the previous fiscal year.