Bank of Baroda expects 24% growth by March 2012

State-owned Bank of Baroda (BoB) is expecting total business growth of about 24 percent over last year at the end of March 2012.

"We plan to achieve a total business of more than Rs 6,50,000 crore at the end of March (2012). We are expecting a total business growth of about 24 percent year-on-year basis," Bank of Baroda chairman M.D. Mallya told reporters on the sidelines of "SME(small marginal enterprise) Festival 2012" here Friday evening.

Mallya said the bank will gain a domestic credit growth of 20 percent at the end of the current financial year.

"As far as domestic credit is concerned, up to Dec (2011) on year-on-year (YoY) basis we have grown by about 19 percent. At the end of the current fiscal our credit growth would be about 19 percent to 20 percent," he said.

The PSU (public sector unit) bank's global credit growth has been 24 percent to 25 percent, said Mallya.

"We will be able to maintain the growth," he stated. BoB has posted a 21 percent increase in its net profit to Rs 12.89 billion for the third quarter in the fiscal year, 2012.

According to Mallya, the central government will infuse a capital of Rs 7.75 billion in the bank.

"The government in a letter has indicated that it will be infusing Rs 775 crore by March," he said.

With the capital infusion taking place, the state-run bank expects that its capital adequacy ratio, which currently stood at 13.45 percent, would go above 14 percent at the end of March.

Source: EconomicTimes

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Bank of Baroda to expand overseas network

Public sector Bank of Baroda (BoB) will expand its overseas network by increasing up its presence in Africa, Middle East and entering New Zealand for the first time, a top company official said.

"We want to increase our presence in the overseas market. We are present in 87 countries, which will go up to 100 by June 2012," BoB's Chairman and Managing Director M D Mallya said.

The bank would increase its presence in Africa and the Middle East, while it would enter New Zealand for the first time.

Regarding African operations, he told reporters last night that "every subsidiary is doing good business in Africa. A large chunk of our incremental growth will be coming from Africa".

The bank is expecting to clock a business volume of more than Rs 6,50,000 crore by the end of current financial year, he said adding it is looking at a growth of 24 per cent year-on-year.

After the government infuses a capital of Rs 775 crore in the bank, Mallya said the bank expects the capital adequacy ratio to go above 14 percent by end of March.

Source: Business Standard

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Vijaya Bank organises housing loan campaign in Hubli

Vijaya Bank Regional office in Hubli is organising a two-day housing loan special campaign on Saturday and Sunday at RACPC Center at Vijaya Bank, Vidyanagar Branch, Hubli (phone 0836-237485/ Mobile - 8904090903).

According to Regional manager Mr B.A. Tata, the main purpose of the mela is to attract more housing loan customers and the highlight of the campaign is offering lowest interest rate on housing loan, 50 per cent concession in processing charges, no pre-payment charges and loans will be sanctioned within three days.

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ING Life Insurance launches 3 new plans

ING Life Insurance has launched three new products in the traditional insurance space.

According to the company, the new products are: ING Secured Income Insurance Plans, ING Star Life and ING Critical Illness Riders.

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IDFC Q3 net profit up 27%

Infrastructure finance company, IDFC Ltd posted a net profit of Rs 387 crore in the December-ended quarter, up 27 per cent from Rs 304 crore in the corresponding quarter last year, said a press release from the company.

Net interest income during the period increased by 30 per cent to Rs 1,527 crore (Rs 1,171 crore).

Non-interest income decreased by 3 per cent to Rs 710 crore (Rs 729 crore). This was primarily on account of a decline of 63 per cent in income from investment banking and broking activity to Rs 60 crore (Rs 161 crore). Loan-related and other fees decreased by 47 per cent to Rs 108 crore (Rs 203 crore).

Net loan book increased by 25 per cent to Rs 43,897 crore (Rs 35,021 crore).

Net NPAs were at 0.2 per cent of outstanding loans.

The average assets under management were at Rs 37,228 crore, as on end-December.

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