Bank of Baroda (BoB), as part of centenary year, 2007-08, has set a business volume target of Rs 3 lakh crore over the next three years. Announcing its ambitious target, BoB chairman and managing director, Anil K Khandelwal said that the bank has already crossed Rs 2 lakh crore in business volumes and the target was achieveable.
Addressing a media meet on the eve of the bank?s centenary year celebrations on Thursday, he said the . bank?s credit growth was likely to be in the range of 22-25%, year-on-year.
BoB also plans to acquire banks overseas that would have about eight to12 branches.
The bank is looking at East Africa. ?Our strengths are in East Africa. We know the market there. We are open to acquiring any bank in that region?, Khandelwal said.
The bank also plans to raise Rs 1,000 crore as upper tier II by March 2008 to maintain its capital adequacy ratio in the range of 12% post Basel- II implementation. ?Our intention is to maintain the net interest margin (NIM) of over 3%,?? Khandelwal said.
The bank also plans to add 31 domestic branches and 15 small and medium enterprise (SME) loan factories on Friday on the occasion of its 100th year.
On international operations the bank expects a healthy growth rate of 35-40% over the next three years. ?By March 2008, we expect to have 71 offices in 25 countries, including new locations like New Zealand and Canada,? he said.
The bank plans to open 10 overseas offices during the financial year 2007-08.
On consolidation of its subsidiaries like BoBCards and BoB Capital Markets, he said the bank was evaluating two options for BoBCards? either roping in a partner or merger of BoBCards with the bank.
?We are closely looking at both these options. We require a good partner who can jack up the business very fast and bring in marketing and technology expertise,? he said.
For BoB Caps he said we are exploring ways to revive it and redefine its functions?.