Dena Bank, UAE Exchange tie up for rupee remittance
By Our Banking Bureau | 16 Sep 2006
Mumbai: Public sector Dena Bank has tied up with UAE Exchange Centre LLC, the largest exchange house in the Emirates, for a rupee-drawing arrangement.
NRIs in the Gulf can remit funds to India by sending rupee drafts drawn on UAE Exchange Centre to 200 designated branches of Dena Bank in India using this facility. There are about four million Indians in the Gulf and they remit an average $5 billion to India each year.
"We expect a growth of 20 per cent in our NRI business through the tie-up," said Dena Bank chairman and managing director PL Gairola.
Gairola said the bank currently has NRI deposits of Rs120 crore. The bank, he added, will raise Rs250-Rs300 crore next month through the Tier-II route to meet its capital requirements. In addition, the bank has set a recovery target of Rs350 crore for its non-performing assets.
"We have received our board's approval for raising Rs675 crore in this fiscal, out of which Rs250-Rs 300 crore is likely to be raised sometime in the next month," Gairola added.
