Union Bank of India (UBI) has set an ambitious target of attaining 20 % growth in both credit and deposits by the end of this financial year, confirmed a top bank official.

"By the end of the current financial year (FY 10), we expect to have a credit and deposit growth of 20 per cent," Union Bank of India's chairman and managing director, M Nair said.

This way the bank would be meeting the target of 16% credit growth set by RBI for this fiscal. In fact with 20% credit growth the bank would not only meet RBI's target but would far exceed it.

He also said that the credit growth for the banking industry in the upcoming fiscal would be in the range of 20-21%.

"Credit growth for the industry in FY 11 will be 20-21 per cent and we (Union Bank) are targeting a growth of 25 per cent during the next fiscal," Nair said, adding "our growth will be higher than that of the industry."

The bank would be in need of capital worth Rs. 1, 400 crore in the upcoming fiscal.

Speaking on grounds of increasing interest rates following strict policy tightening measures adopted by RBI by way of rising repo rates, Nair said that the bank would wait for the monetary policy announcement coming up in April 20th before taking any step in this regard.