Unity Small Finance Bank, the 51:49 joint venture between Centrum Group and payments app Bharatpe, on Monday launched their first branch that will go a long way in resolving the crippled cooperative PMC Bank by merging it with the new entity.

Early evening, the Reserve Bank said Unity SFB began operations with the first branch going operational in the city.

The 12th small finance bank begins operations with over Rs 1,100 crore of equity capital, over 2 lakh customers and an asset base of over Rs 2,400 crore which comes from the existing MSME and MFI credit business of the Centrum Group, Jaspal Bindra, group executive chairman and also the non-executive chairman of Unity Bank, told PTI on Monday.

Unity Bank commenced operations in a record time as it got the final licence only on October 12 from the Reserve Bank, after getting the in-principal approval in June. The licence is also contingent on the Unity Bank taking over the crippled Punjab & Maharashtra Cooperative (PMC) Bank, which was hit by a Rs 7,000 crore loan scam and has been under the RBI administrator since September 2019.

“Technically we are open for business now as our first branch is operational from the Centrum Group headquarters at Kalina. We’re happy that we could launch the bank in the auspicious Diwali week and hope to open customer accounts from tomorrow itself,” Bindra said.

On the proposed merger of PMC with Unity…

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