Public sector lender, Union Bank of India has ruled out chances of any further rate hike in both deposit as well as lending segment upto April.

Following the policy rate hike by Reserve Bank of India recently, it is expected that most banks will opt for interest rate hike.

"Immediate future in about a month time, I don't think interest rates are going up as far as Union Bank is concerned," bank's Chairman and Managing Director, Mr M V Nair said.

Speaking on the net interest margin (NIM), he said that by the end of this fiscal, the NIM of the bank would stand at 3.25%. In the upcoming fiscal, the NIM is expected to stand at 3.10%.

"As a matter of fact, our NIM was 2.7, it has gone up to 3.25 per cent but the next year our expectations have come down for the reason this year we had certain benefits because deposit cost did not go up substantially. Last 2-3 months we increase deposit rates that would have impact on the next year (NIM)," he said.

Apart from this, the bank has recently also entered into collaboration with Nokia, to carry ahead its plan of financial inclusion. The deal between the two entities will aid in providing mobile banking facilities in rural areas.