34 functional teams to smoothen merger of UBI, PNB, OBC
A total of 34 functional teams have been formed to smoothen the process of merger of United Bank of India (UBI), Punjab National Bank (PNB) and Oriental Bank of Commerce (OBC), a senior official said. The merger is scheduled to come into force from April 1 next year.
"Thirty-four functional teams have been created to come out with solutions for the process of integration," a UBI official told PTI. A team comprises two members each from the three banks from different functional areas, he said.
"The functional teams will also try standardizing the loan process, credit terms and benefits extended to the customers in the interim period till the merger comes into effect to avoid customer-related issues in the future," the official said. The UBI had conducted customer meets at Kolkata, Guwahati, and Patna to allay their apprehensions about the future of banking, the official said.
UBI managing director and CEO A K Pradhan had earlier said that though the balance sheet merger is likely to happen by April 1 next year, it will take another three to six months after that for the HR and IT integration to be completed. He had said the complete harmonization among the three entities would take another 12 to 14 months after the merger.
Senior officials of the three banks had held a meeting recently. The merger will make the new entity the second-largest bank in the country after the State Bank of India (SBI) with a total business volume of Rs 18 lakh crore.
This comes after the Centre's announcement to consolidate 10 public sector banks into four. Allahabad Bank will be merged with Indian Bank while the Union Bank of India, Andhra Bank, and Corporation Bank will be amalgamated.
In 2017, the State Bank of India had absorbed five of its associate banks and the Bharatiya Mahila Bank.
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)