United Bank of India is on its way to clean up its loan book. A top bank official has informed that UBI is negotiating with some of the asset reconstruction companies to sell off a part of its bad loans.

The bank is looking forward to restructure its advance portfolio and to reduce its non performing assets burden. Huge NPA has become the major issue for the bank's operating profit.

Executive Director of United Bank of India, T M Bhasin has said that the bank has already disposed off around Rs 200-crore worth bad assets so far in this current fiscal year.

Moreover, it is planning to sell off Rs 100-crore of its bad loans by the end of this month. Mr. Bhasin has also informed that the bank has received fresh bids of sale from ARC.

According to reports, UBI is currently having a gross NPA of 2.4%. The net NPA has been found out to be 1.21%. It has sanctioned loans of Rs 43,000 crore as compared to the total deposit-base of Rs 67,000 crore.