UCBs were permitted in 2008 to raise capital through innovative instruments like Perpetual Non-Cumulative/Cumulative and Redeemable Preference Shares as also Long Term (Subordinated) Deposits.
RBI has issued several guidelines for financial restructuring of less capitalised UCBs such as conversion of deposits into equity, guidelines for merger including that with DICGC support, guidelines for transfer of asset & liabilities of weak UCBs to commercial Banks with DICGC support, etc. 40.