It?s a double century for the state-owned Bank of Baroda (BoB), celebrating its 100th anniversary this year. For the first quarter, the bank has registered a staggering 102.6% growth in net profit to Rs 330.84 crore, against Rs 163.32 crore in the corresponding quarter the previous year. ?The growth in net profit was mainly on account of robust interest on advances, profit in sale of investments, and other incomes,? said Anil K Khandelwal, chairman and managing director, BoB.
On interest rates, he said the bank would take a decision on deposit- as well as lending rates after the RBI?s credit policy review on July 31. ?We may not reduce both (the rates) at the same time. We have to tackle the deposit side first,? he added.
During Q1 of FY08, the bank?s interest income increased 34.9% to Rs 2,654.62 crore from Rs 1,967.67 crore a year ago, while non-interest income rose 64.4% to Rs 370.19 crore from Rs 225.2 crore.