Union Bank has reported a significant upturn in its performance for the half year ended 30 June 2010. The Bank’s Pre-tax Profits improved by 65% to record Rs 110.3 M up from Rs 66.8 M for the period ended 30 June 2009, whilst Post-tax Profits increased by 54% to Rs 50M corresponding to the results achieved for the identical period last year.

Net Interest Income increased by 54% over the preceding year. Similar growth was also achieved in the Bank’s core activities. Gross loans and advances increased by 16% year on year to reach Rs 9.2 Bn, whilst deposits increased to Rs 12.6 Bn as at 30 June 2010.

Mr Ajita de Zoysa, Chairman of Union Bank, expressed his satisfaction over these results and stressed that these were achieved despite a re-pricing of assets and liabilities against a back drop of declining interest rates and sluggish market conditions. He emphasized on the Bank’s future potential and its ability to emerge as a strong performer in the Industry following the recent fresh capital infusion of Rs 2 Bn partly subscribed by the Genting Group, Malaysia. The Bank is now strategically positioned to embark on an aggressive growth strategy, in addition to comfortably surpassing the regulatory minimum capital requirements for commercial banks. Mr de Zoysa further disclosed that the Bank is investing significantly in brand building and network expansion, as well as value additions to its existing portfolios, and launching of new products- especially innovative, technology driven state of the art banking solutions, which have been synonymous with Union Bank since its formation.