Role of UBI in International Banking

United Bank of India (UBI) is one of the 14 major banks which were
nationalized on July 19, 1969. Its predecessor the United Bank of India Ltd.,
was formed in 1950 with the amalgamation of four banks viz. Comilla Banking
Corporation Ltd. (1914), Bengal Central Bank Ltd. (1918), Comilla Union Bank
Ltd. (1922) and Hooghly Bank Ltd. (1932) (which were established in the years
indicated in brackets after the names). The origin of the Bank thus goes as far
back as to 1914. As against 174 branches, Rs. 147 crores of deposits and Rs.
112 crores of advances at the time of nationalisation in July, 1969, today the
Bank is 100% CBS enabled with 2000 branches and offices and is having
a Total business of more than Rs 2 lac crore. Presently the Bank is having a
Three-tier organisational set-up consisting of the Head Office, 35 Regional
Offices and the Branches.



UBI played a significant role in the spread of banking services in different parts
of the country, more particularly in Eastern and North-Eastern India. UBI has
sponsored 4 Regional Rural Banks (RRB) one each in West Bengal, Assam,
Manipur and Tripura. These four RRBs together have over 1000 branches.
United Bank of India has contributed 35% of the share capital/ additional capital
to all the four RRBs in four different states. In its efforts to provide banking
services to the people living in the not easily accessible areas of the Sunderbans
in West Bengal, UBI had established two floating mobile branches on motor
launches which moved from island to island on different days of the week. The
floating mobile branches were discontinued with the opening of full-fledged
branches at the centers which were being served by the floating mobile
branches. UBI is also known as the 'Tea Bank' because of its age-old association
with the financing of tea gardens. It has been the largest lender to the tea
industry.


The Bank has three full fledged Overseas Branches one each at Kolkata, New
Delhi and Mumbai with fully equipped dealing room and SWIFT terminal .
Operations of all the branches have since been computerized and Electronic
Fund Transfer System came to be implemented in the Bank's branches across
the country. The Bank has ATMs all over the country and customers can use
United International Debit Card at all VISA ATMs across the globe.


FOREX SERVICES

FOREIGN EXCHANGE OPERATIONS

United Bank of India, one of the major public sector banks in India having a
strong presence in the foreign exchange market , has a representative office at
Dhaka Bangladesh and the only bank assigned to facilitate Indo Myanmar trade
in India.

The modern state-of-the-art dealing room at its Head Office (H.O) at Kolkata
provides the necessary wherewithal to its 51 designated B Category
Authorized Dealer (AD) branches and 191 C category Authorized Dealer
(AD) branches across the length and breadth of the country authorized to handle
foreign exchange business of its clientele. The Bank has retained its primacy as
a leading market maker both in spot and forward markets, along with foreign
exchange swap markets.

The foreign exchange dealing desk at the H.O is provided with all modern
communication facilities and is in the process of linking all its authorized
branches via ITMS, to provide on-line quotes for foreign exchange transactions.

Through its large network of authorized branches, the Bank caters to the foreign
exchange needs of its clientele engaged in export and import trade and the
dealing room at H.O. provides rates for conversion of all major world currencies
like U S Dollar, Sterling Pounds, Euro, Swiss Francs, Japanese Yen and other
exotic currencies. The services to the customers of the Bank include hedging of
foreign currency risks by providing forward covers and various derivatives
product, instant encashment of travelers cheques and foreign currency notes
tendered by the tourists. Granting of pre-shipment credit in foreign currency and
Rupee currency to exporter customers Purchasing/Discounting/Negotiating of
export bills Opening of foreign letters of credit for import customers and issue
of foreign customers, Execution/Transmission of Payment Orders through
SWIFT, Correspondent relationship with major international Banks

Since most of its AD branches are strategically situated at places where sizeable
Non-resident Indians are residing, the Bank is in a position to deliver its
products promptly and efficiently to its NRI customers. The range of products
includes remittance facilities and acceptance of deposits in Indian Rupees (NRE
/ NRO) as well as in designated foreign currencies (FCNR). Resident as well as
Returning Indians can avail of benefits like Resident Foreign Currency
Accounts (RFC).









CORRESPONDENT BANKING

We have correspondent banking relationship with more than 600 International
banks around the globe The correspondent banks are selected with great care to
ensure that our customers get the best and most reliable service in the foreign
lands at most competitive rates.

A wide network of correspondent banks helps our customers in the following
ways:

Our Importer clients can have their import LCs established through us and
advised by our correspondents spread over the globe. As our bank has good
standing in the international market, the LCs established by us are accepted
internationally. Nonetheless in case the supplier wants our LCs to be confirmed
by a bank in the country of the supplier, our correspondents will be pleased to
add their confirmation to the LCs established by us.

Outward Remittances towards imports payment and for other purposes will be
affected with ease as per FEMA regulations. Quick collection of Export Bills
and clear instruments through the wide network of correspondents. Our
adequate drawing arrangements with a number of our correspondents.
Remittances by way of DD / TT / Swift can be effected through any of our
correspondents worldwide.

We also have NOSTRO Accounts in most of the permitted currencies. You can
remit funds to India in any of these currencies by instructing to your bankers
abroad to remit the funds to our NOSTRO Account maintained in that particular
currency. Full details of your account in India in any of our branches or with
any other bank may kindly be furnished along with your payment instructions.
It is also requested that the purpose of the remittance be stated so that the funds
can be disposed accordingly.


INTERNATIONAL TREASURY

United Bank of India has a strong presence in the Treasury Market in India. the
Foreign Exchange treasury at Head office is equipped with state of art
technology, highly experienced and motivated staff with professional skills. The
Bank deal in all the major international currencies i.e. US$, GBP, Euro, Yen as
well as other currencies. The treasury undertakes the following treasury related
activities:

Foreign Exchange Inter Bank Placements / Borrowings
Sale & Purchase of currency on behalf of customers
Forward Cover Bookings
Cross Currency Swaps
Interest Rate Swaps (IRS)
Foreign Exchange Money Market Operations
NRI SERVICES

ACCOUNTS & DEPOSITS OFFERED:

NRO
NRE
FCNR(B)
RFC
RATE OF INTEREST ON NRI DEPOSITS
NRI ACCOUNT OPENING FORM

REMITTANCE FACILITY :

Remittance to India by NRI
Remittance facilities from India

LOANS :

Loan Against Deposits to NRI
Housing Loan for NRIs


BANK FACILITIES FOR IMPORTERS.

IMPORT FINANCE
COLLECTION OF IMPORT BILLS
LETTER OF CREDIT
BANK GUARANTEE & OTHER SERVICES

BANK FACILITIES TO EXPORTERS

FUND BASED FACILITIES
EXPORT CREDIT (PRE & POST SHIPMENT ) IN INDIAN RUPEE
EXPORT CREDIT (PRE & POST SHIPMENT ) IN FOREIGN
CURRENCY
UNITED BANK EXPORTER GOLD CARD.









NON FUND BASED FACILITIES & OTHER SERVICES

NON-FUND BASED FACILITIES

United bank of India issues Bid Bond, Performance and other guarantees in
favour of the beneficiaries abroad on behalf of Indian Exporter customers.

OTHER SERVICES
Advising / Confirmation of Export Letters of Credit : Exporters can insist
their export letter of credit are advised through United Bank of India to
ensure timely delivery.
Assisting in compiling credit reports on the overseas buyers.
Derivative products to cover exchange risk
Collection of exports bills : Concentrating your Documentary collection
activities with United Bank of India your exporting hassles is eliminated.
You will experience fewer delay in receiving export proceeds and have
efficient cash management.
Maintains EEFC Account of its customers. The Exchange Earners
Foreign Currency (EEFC) Deposits Scheme was started by RBI in the
year 1992 with the introduction of Liberalised Exchange Rate
Management System. Under this scheme, the recipient of inward
remittances, exporters and other eligible bodies are allowed to keep a
portion of their inward remittances / export proceeds in foreign currency
with the banks in India which can later be utilised for permissible
purposes

FOREIGN CURRENCY LOAN / FCNR (B) LOAN.

United Bank of India grants FCNR (B) Loans through its Authorized Dealer
branches.
The Indian corporate / firms are allowed to raise the funds through foreign
currency loans at the selected Indian branches within the prevailing policy
guidelines of the Bank/ RBI.

Key Benefits

FCNR (B) loans are beneficial to the corporate on account of following :

At times, it may entail lesser interest cost vis--vis Rupee borrowings.
The borrower is not required to go to the International market for raising
the funds as foreign currency funds are made available in India reducing
the cost of raising such funds.





Broad purpose of loans :
Corporate are allowed to obtain foreign currency denominated loans in India
under the above scheme for the following purposes:

For meeting working capital requirements in Indian Rupees.
By way of pre-shipment advances/ post shipment advances to the
exporters.
Import of raw materials.
Import of capital goods.
Purchase of indigenous machinery.
Repayment of the existing Rupee Term Loan.
Repayment of any existing ECB's with the permission from RBI, Govt. of
India.