Company Profile: Bank of Baroda, a state-run bank, was set up by Maharaja Sayajirao Gaekwad in July 1908. Right now Govt of India is the owner of the Bank. Presently it has a network of 3454 branches across India and 86 branches overseas spread among Australia, Bahamas, Bahrain, Belgium, China, Fiji, Malaysia, Hong Kong, South Africa, Singapore, Oman, UK, and the US.
Just like any other bank, Bank of Baroda also offers a variety of services deposits, loans, debit and credit cards, Demat service, ECS, Agricultural loan, locker services, Project Finance, foreign currency loans, working capital finance, Treasury products, wealth management products to INSURANCE AND MUTUAL COMPANY. In insurance, it offers services to HDFC and National Insurance Company. Mutual funds assist UTI, Birla Sun Life, Reliance Mutual Fund, Sundaram BNP Paribas, Franklin Templeton Investments, and Baroda Pioneer Asset Management Company. The Bank holds a stake in UTI and promotes Baroda Pioneer Asset Management Company Ltd and India First Life Insurance Company Limited.
Financials and Ratio :
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Future Prospects: As a Public Sector Undertaking, some of the Bank’s Financials are looking bad. But still, the Bank is maintaining its efficiency, which is a good sign. As in India, infrastructure development is essential, and hardly any Private sector bank is lending to the infrastructure sector. So it is crucial to play for infrastructure.
Recently Bank has taken a hit with NPA and makes ample provisions that are visible to bank efficiency but still, it is not very big. Bank also keeps a high capital adequacy rate which is very good. As a public sector undertaking, the Bank enjoys an extensive network of Branches and ATMs. In recent times, though the Credit deposit ratio is going high and Demonetisation makes it worse as the liquidity is not for the long-term, I expect banks to suffer more.
