In a significant development for UCO Bank , the Central Government has extended the tenure of Rajendra Kumar Saboo as Executive Director for an additional three years. This extension comes as a vote of confidence in Saboo's leadership and his contributions to the bank's operations.

Key Details of the Extension

• Extended Tenure: Three years beyond the current term
• Current Term End Date: November 20, 2025
• Extension Validity: Until further orders or the end of the three-year period, whichever is earlier
• Government Notification Date: September 15, 2025

Legal Basis for the Extension

The extension was granted under the provisions of:

• The Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970
• Clause (a) of sub-section (3) of Section 9 of the aforementioned Act
• Paragraph 8 (1) of the Nationalised Banks (Management and Miscellaneous Provisions) Scheme, 1970

Official Communication

UCO Bank officially communicated this development to the stock exchanges on September 16, 2025, in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The bank's Company Secretary, Vikash Gupta, issued the statement to both the National Stock Exchange of India Ltd. and BSE Limited.

Implications for UCO Bank

This extension of Rajendra Kumar Saboo's tenure as Executive Director signifies:

1. Continuity in the bank's top management
2. Recognition of Saboo's performance and leadership
3. Potential for long-term strategic planning and implementation

The move by the Central Government to extend Saboo's tenure demonstrates confidence in the current leadership of UCO Bank. It provides stability to the bank's management structure, which could be viewed positively by stakeholders and the market.

As UCO Bank continues to navigate the dynamic banking landscape, the extended tenure of its Executive Director may play a crucial role in the bank's future strategies and operations. Shareholders and market observers will likely keep a close watch on the bank's performance under the continued leadership of Rajendra Kumar Saboo in the coming years.

UCO Bank , a state-owned lender, has received government approval to handle trade payments for Nayara Energy, a move that comes nearly two months after the refiner faced sanctions from the European Union (EU). This development marks a significant step in addressing the operational challenges faced by Nayara Energy since the sanctions were imposed in July.

Government Intervention

Senior executives from UCO Bank recently met with finance ministry officials, where they were instructed to take the lead in executing payments for Nayara Energy. This decision comes in response to Nayara's appeal to government officials for assistance in securing a domestic lender with limited offshore presence to support its crude oil import payments and receive payments for refined fuel exports.

Nayara Energy's Challenges

Nayara Energy, which is part-owned by Russian oil major Rosneft, has been grappling with significant operational hurdles since being sanctioned:

• Large institutions, including the State Bank of India, have ceased processing transactions for the company.
• Ships have diverted from Nayara's terminal, impacting its supply chain.
• The company has been forced to reduce its run rates and seek advance payments to maintain operations.

Ownership and Market Presence

Nayara Energy, with Rosneft owning just over 49% stake, plays a substantial role in India's refining sector:

• Accounts for nearly 8% of India's refining capacity
• Operates 7% of the country's retail-fuel network

Next Steps

While the government has given the green light for UCO Bank to facilitate trade payments, several operational details are still being ironed out:

• The choice of currency for transactions is yet to be finalized.
• The mechanism for processing crude oil import payments and receiving payments for refined fuel exports is being developed.

This move by the Indian government, channeled through UCO Bank, aims to provide a lifeline to Nayara Energy, ensuring the continuity of its operations despite the EU sanctions. The arrangement could potentially set a precedent for handling similar situations involving sanctioned entities in the future, highlighting India's pragmatic approach to balancing international relations and domestic economic interests.