Introduction

to
Industry
Bank may be defined as a financial institution, which is engaged in the business of
keeping money for savings and maintaining accounts and issuing loans & credit etc.
A set of services intended for private customers and characterized by a higher quality
than the services offered to retail customers.

Based on the notion of tailor-made services, it aims to offer advice on investment;

inheritance plans and provides active support for general transactions and the
resolution of asset-related problems.

The essential function of a bank is to provide services related to the storing of

deposits and the extending of credit. Basic function may include Credit collection,
Issuer of banking notes, Depositor of money and lending loans.

Now a day’s banking is not in its traditional way, with the advancement
of technology it’s focusing on more comfort of customer providing services such as:

 Online banking
 Investment banking
 Electronic banking
 Internet banking
 Pc banking/mobile banking
 E-banking

The importance of banking sector is immense in the progress and prosperity of any
State or country.

Banking in India
Without a sound and effective banking system in India it cannot have a healthy
economy. The banking system of India should not only be hassle free but it should be
able to meet new challenges posed by the technology and any other external and
internal factors. For the past three decades India's banking system has several
outstanding achievements to its credit. The most striking is its extensive reach. It is no
longer confined to only metropolitans or cosmopolitans in India. In fact, Indian
banking system has reached even to the remote corners of the country. This is one of
the main reasons of India's growth process.

A brief history
Banking in India originated in the last decades of the 18th century. The oldest bank
inexistence in India is the State Bank of India, a government-owned bank that traces
its origins back to June 1806 and that is the largest commercial bank in the country.
Central banking is the responsibility of the Reserve Bank of India, which in 1935
formally took over these responsibilities from the then Imperial Bank of India,
relegating it to commercial banking functions. After India's independence in 1947, the
Reserve Bank was nationalized and given broader powers. In 1969 the government
nationalized the 14 largest commercial banks; the government nationalized the six
next largest in 1980.

Currently, India has 69 scheduled commercial banks (SCBs) - 27 public sector

banks, 23 private banks (these do not have government stake; they may be publicly
listed and traded on stock exchanges) and 30 foreign banks.

They have a combined network of over 1,00,000 branches and 50,000ATMs.

According to a report by ICRA Limited, a rating agency, the public sector banks hold
over 75 percent of total assets of the banking industry, with the private and foreign
banks holding18.2% and 6.5% respectively.

From World War I to Independence:

The period during the First World War (1914-1918) through the end of the Second
World War (1939-1945), and two years thereafter until the independence of
India were challenging for Indian banking. The years of the First World War were
turbulent, and it took its toll with banks simply collapsing despite the Indian
economy gaining indirect boost due to war-related economic activities. At least 94
banks in India failed between 1913 and 1918.

Post-independence:

The partition of India in 1947 adversely impacted the economies of Punjab and West
Bengal, paralyzing banking activities for months. India's independence marked the
end of a regime of the Laissez-faire for the Indian banking. The Government of India
initiated measures to play an active role in the economic life of the nation, and the
Industrial Policy Resolution
adopted by the government in 1948 envisaged an economy.
This resulted into greater involvement of the state in different segments of the
economy including banking and finance. The major steps to regulate banking
included:

 In 1948, theReserve Bank of India, India's central banking authority, was

nationalized, and it became an institution owned by the Government of India.

 In 1949, the Banking Regulation Act was enacted which empowered the
Reserve Bank of India (RBI) "to regulate, control, and inspect the banks in
India."
  The Banking Regulation Act also provided that no new bank or branch of
an existing bank could be opened without a license from the RBI, and no two
banks could have common directors.

However, despite these provisions, control and regulations, banks in India except the
State Bank of India, continued to be owned and operated by private persons. This
changed with the nationalization of major banks in India on 19 July 1969.

Nationalization of Banks

Nationalized banks dominant banking System in India. The nationalization of banks

in India took place in 1969 by Mrs. Indira Gandhi the then prime minister. The major
objective behind nationalization was to spread banking infrastructure in rural areas
and make available cheap finance to Indian farmers. Fourteen banks were
nationalized in 1969. Before 1969, State of India (SBI) was only public sector bank in
India. SBI was nationalized in 1955 under the SBI Act of 1955. The second phase of
nationalization of Indian banks took place in the year 1980. Seven more banks were
nationalized with deposits over 200 crores.

Private Banks
All the banks in India were earlier private banks. They were founded in the pre-
independence era to cater to the banking needs of the people. But after nationalization
of banks in 1969 public sector banks came to occupy dominant role in the banking
structure. Private sector banking in India received a fillip in 1994 when Reserve Bank
of India encouraged setting up to private banks as part of its policy of liberalization of
the Indian Banking Industry. Housing Development Finance Corporation Limited
(HDFC) was amongst the first to receive andIn principle’ approval from the Reserve
Bank of India (RBI) to set up a bank in the private sector. Private Banks has played a
major role in the development of Indian banking industry. They have made banking
more efficient and customer friendly. In the process they have jolted public sector
banks out of complacency and forced them to become more competitive.

Growth and Present Status of Banks

In the early 1990s, the then Narsimha Rao

Government embarked on a policy of liberalization, licensing a small number of
private banks. These came to be known as New Generation tech-
savvy banks, and included Global Trust Bank (the first of such new generation banks
to be set up), which later amalgamated with Oriental Bank of Commerce, Axis
Bank (earlier as UTI Bank ), ICICI Bank and HDFC Bank . This move, along with the
rapid growth in the economy of India, revitalized the banking sector in India, which
has seen
rapid growth with strong contribution from all the three sectors of banks, namely,
government banks, private banks and foreign banks.
The revenue of Indian banks grew four-fold from US$ 11.8 billion to US$ 46.9
billion, whereas the profit after tax rose nearly nine-fold from US$ 1.4 billion to US$
12 billion over 2001-105. This growth was driven primarily by two factors. First, the
influx of Foreign Direct Investment (FDI) of up to 74 per cent with certain
restrictions. Second, the conservative policies of the Reserve Bank of India (RBI),
which have shielded Indian banks from recession and global economic turmoil.

Currently, banking in India is generally fairly mature in terms of supply, product

range and reach-even though reach in rural India still remains a challenge for the
private sector and foreign banks. In terms of quality of assets and capital adequacy,
Indian banks are considered to have clean, strong and transparent balance sheets
relative to other banks incomparable economies in its region. The Reserve Bank of
India is an autonomous body, with minimal pressure from the government. The stated
policy of the Bank on the Indian Rupee is to manage volatility but without any fixed
exchange rate-and this has mostly been true. With the growth in the Indian economy
expected to be strong for quite some time-especially in its services sector-the demand
for banking services, especially retail banking, mortgages and investment services are
expected to be strong. One may also expect takeovers and asset sales.

Future of Banking Sector and Initiated Reforms

Financial sector reforms were initiated as part of overall economic reforms in the
country and wide ranging reforms covering industry, trade, taxation, external sector,
banking and financial markets have been carried out since mid-1991. A decade of
economic and financial sector reforms has strengthened the fundamentals of the
Indian economy and transformed the operating environment for banks and financial
institutions in the country. The sustained and gradual pace of reforms has helped
avoid any crisis and has actually fuelled growth. The most significant achievement of
the financial sector reforms has been the marked improvement in the financial health
of commercial banks in terms of capital adequacy, profitability and asset quality as
also greater attention to risk management. Further, deregulation has opened up new
opportunities for banks to increase revenues by diversifying into investment banking,
insurance, credit cards, depository services, mortgage financing, securitization, etc. At
the same time, liberalization has brought greater competition among banks, both
domestic and foreign, as well as competition from mutual funds, NBFCs, post office,
etc. Post-WTO,
competition will only get intensified, as large global players emerge on the scene.
Increasing competition is squeezing profitability and forcing banks to work efficiently
on shrinking spreads. Positive fallout of competition is the greater choice available to
consumers, and the increased level of sophistication and technology in banks. As
banks benchmark themselves against global standards, there has been a marked
increase in disclosures and transparency in bank balance sheets as also greater focus
on corporate governance.
Major Reforms in Banking Sector

Some of the major reform initiatives in the last decade that have changed the face of
the Indian banking and financial sector are:

 Interest rate deregulation. Interest rates on deposits and lending have been
deregulated with banks enjoying greater freedom to determine their rates.

 Adoption of prudential norms in terms of capital adequacy, asset classification,

income recognition, provisioning, and exposure limits, investment fluctuation
reserve, etc.

 Reduction in pre-exemptions – lowering of reserve requirements (SLR and

CRR), thus releasing more lendable resources which banks can deploy
profitably. Government equity in banks has been reduced and strong banks have
been allowed to access the capital market for raising additional capital.

 Banks now enjoy greater operational freedom in terms of opening and swapping
of branches, and banks with a good track record of profitability have greater
flexibility in recruitment.

 New private sector banks have been set up and foreign banks permitted to
expand their operations in India including through subsidiaries. Banks have also
been allowed to set up Offshore Banking Units in Special Economic Zones.

 New areas have been opened up for bank financing: insurance, credit cards,
infrastructure financing, leasing, gold banking, besides of course investment
banking, asset management, factoring, etc.

 New instruments have been introduced for greater flexibility and better risk man
agement: e.g. interest rate swaps, forward rate agreements, cross currency
forward
contracts, forward cover to hedge inflows under foreign direct investment, liqui
dity adjustment facility for meeting day-to-day liquidity mismatch.
Company
Profile
Bank of Baroda (BoB) is an Indian state-owned banking and financial
services company headquartered in Vadodara in Gujarat, India. It is the second-largest
bank in India, after State Bank of India, and offers a range of banking products and
financial services to corporate and retail customers through its branches and through
its specialized subsidiaries and affiliates. During FY 2013-14, its total business
was 9,659 billion. In addition to its headquarters in its home state of Gujarat, it has a
corporate headquarters in the Bandra Kurla Complex in Mumbai.

Based on 2014 data, it is ranked 801 on Forbes Global 2000 list. BoB has total assets
in excess of 6,595 billion, a network of 4966 branches (out of which 4873
branches are in India) and offices, and over 5000 ATMs.

Growing its presence across new regions and strengthening its equity in existing
markets, Bank of Baroda is on the path to establish itself ‘round the clock around the
globe.' The bank is exploring out-of-the-box means to identify new ways to tailor its
growing repertoire of products and services to meet segment-specific requirements
across regions. Automation-led process and cost optimization, orchestration of the
offices network, and greater attention to compliance with global regulations are
aggressively being focused on to help the bank achieve its ambitious goals. Bank of
Baroda is gearing to leverage the opportunities that a globalized era presents and
devising nimble ways to skirt its threats. The bank is now charting a coherent strategy
to not just cope but break new ground and emerge with the winning edge in the
changing global business scenario.

Bank of Baroda is amongst first in the industry to complete an all-inclusive

rebranding exercise wherein various novel customer centric initiatives were
undertaken along with the change of logo. The initiatives include setting up of
specialized NRI Branches, Gen-Next Branches and Retail Loan Factories/ SME Loan
Factories with an assembly line approach of processing loans for speedy disbursal of
loans.

Ever since it’s rebranding in 2005, Bank has consistently promoted its major strengths
viz. large international presence; technological advancement and superior customer
service etc. Bank had introduced the sub brand BARODA NEXT-State of the Art-
Straight from the Heart to showcase how it has utilized technology to nurture long-
term relationships for superior customer experience. Alternate delivery channels such
as Internet banking, ATMs, mobile banking etc. and robust delivery outfits like Retail
Loan Factories, SME Loan Factories, and City Sales Office etc have reinforced the
sub brand. Bank’s constant endeavor to strengthen its branch/ATM network combined
with well-informed staff offering personalized service at its various touch points have
enhanced customer interactions and satisfaction. Thus the Bank has firmly positioned
itself as a technologically advanced customer-centric bank.
History of the Bank
It all started with a visionary Maharaja’s uncanny foresight into the future of trade
and enterprising in his country. On 20th July 1908, under the Companies Act of 1897,
and with a paid up capital of Rs 10 Lacs started the legend that has now translated
into a strong, trust worthy financial body, THE BANK OF BARODA.

It has been a wisely orchestrated growth, involving corporate wisdom, social pride
and the vision of helping others grow, and growing itself in turn.

The founder, Maharaja Sayajirao Gaekwad, with his insight into the future, saw "a
bank of this nature will prove a beneficial agency for lending, transmission, and
deposit of money and will be a powerful factor in the development of art, industries
and commerce of the State and adjoining territories.”

These words are etched into the mind, body and soul of what has now become a
banking legend. Following the Maharajas words, the emblem has been crafted to
represent wealth, safety, industrial development and an inclination to better and
promote the country’s agrarian economy. This emblem shows a coin, symbolizing
wealth, embossed with an upraised palm, a safety cover for the depositor’s money,
with a cogwheel that promotes industrial growth in tandem with the two corn ears that
stand for the progress of the staple agricultural growth in the country.

Between 1913 and 1917, as many as 87 banks failed in India. Bank of Baroda
survived the crisis, mainly due to its honest and prudent leadership. This financial
integrity, business prudence, caution and an abiding care and concern for the hard
earned savings of hard working people, were to become the central philosophy around
which business decisions would be effected. This cardinal philosophy was over the 94
years of its existence, to become its biggest asset. It ensured that the Bank survived
the Great War years. It ensured survival during the Great Depression. Even while big
names were dragged into the Stock Market scam and the Capital Market scam, the
Bank of Baroda continued its triumphant march along the best ethical practices.
No history is complete without mention of its heroes, mostly ordinary people, who
turn in extra-ordinary performances and contribute to building an institution. Over the
years, there have been thousands of such people. The Bank salutes these "unknown
soldiers" who passionately helped to create the legend of Bank of Baroda.

There were also the leaders, both corporate and royal, who provided the vision and
guided the Bank through trail blazing years, and departing, left behind footprints on
the sands of time. This Roll of Honor will be incomplete without mention of men, of
the stature of Maharaja Sayajirao Gaekwad, Sampatrao Gaekwad, Ralph Whitenack,
Vithaldas Thakersey, Tulsidas Kilachand and NM Chokshi.

The Heritage
It all started with a visionary Maharaja's uncanny foresight into the future of trade and
enterprising in his country. On 20th July 1908, under the Companies Act of 1897, and
with a paid up capital of Rs. 10 Lakhs started the legend that has now translated into a
strong, trustworthy financial body, THE BANK OF BARODA

It has been a wisely orchestrated growth, involving corporate wisdom, social pride
and the vision of helping others grow, and growing itself in turn.

The founder, Maharaja Sayajirao Gaekwad, with his insight into the future, saw "a
bank of this nature will prove a beneficial agency for lending, transmission, and
deposit of money and will be a powerful factor in the development of art, industries
and commerce of the State and adjoining territories."

These words are etched into the mind, body and soul of what has now become a
banking legend. Following the Maharaja's words, the emblem has been crafted to
represent wealth, safety, industrial development and an inclination to better and
promote the country's agrarian economy. This emblem shows a coin, symbolizing
wealth, embossed with an upraised palm, a safety cover for the depositor's money,
with a cogwheel that promotes industrial growth in tandem with the two corn ears that
stand for the progress of the staple agricultural growth in the country.
Mission Statement
To be a top ranking National Bank of International Standards committed to
augmenting stakeholders' value through concern, care and competence.

Business Strategy
Focusing upon customer needs and preferences and fulfilling them in a cost effective
manner by leveraging strong technology platform

Attain a well balanced growth in its loan book across different sectors like retail,
SME, agriculture, wholesale etc. and across different geographies

Further strengthen its systems for credit origination and monitoring

Maintain a high provision coverage ratio to protect the quality of its asset portfolio
from any downside growth risks

Develop innovative products and services that attract targeted customers and address
inefficiencies in the Indian financial sector

Back office functions moved to hub, so branch staff can spend time with customers

Business Description
The bank offers a wide array of customized and specialized services to meet the
diverse needs of its customers, and these services have been categorized into Personal
Banking, Business Banking, Corporate Banking, International Banking, Treasury
Banking and Rural Banking services. The company offers fixed, current, and savings
deposits; and home loans, mortgage loans, advance against securities, education
loans, auto loans, term finance, small scale industries and SME loans, traders loans,
working capital, export and import finance, bill finance, bridge loans, project finance,
and infrastructure finance.
The Ethics:
Between 1913 and 1917, as many as 87 banks failed in India. Bank of Baroda
survived the crisis, mainly due to its honest and prudent leadership. This financial
integrity, business prudence, caution and an abiding care and concern for the hard
earned savings of hard working people, were to become the central philosophy around
which business decisions would be effected. This cardinal philosophy was over the
century old existence, to become its biggest asset. It ensured that the Bank survived
the Great War years. It ensured survival during the Great Depression. Even while big
names were dragged into the Stock Market scam and the Capital Market scam, the
Bank of Baroda continued its triumphant march along the best ethical practices.

Our Logo:
Our new logo is a unique representation of a universal symbol. It comprises dual ‘B’
letterforms that hold the rays of the rising sun. We call this the Baroda Sun.

The sun is an excellent representation of what our bank stands for. It is the single
most powerful source of light and energy – its far-reaching rays dispel darkness to
illuminate everything they touch. At Bank of Baroda, we seek to be the sources that
will help all our stakeholders realize their goals. To our customers, we seek to be one-
stop, reliable partners who will help them address different financial needs. To our
employees, we offer rewarding careers and to our investors and business partners,
maximum return on their investment.

The single-colour, compelling vermillion palette has been carefully chosen, for its
distinctiveness as it stands for hope and energy. The Baroda Sun is a fitting face for
our brand because it is a universal symbol of dynamism and optimism – it is
meaningful for our many audiences and easily decoded by all. It is a signal that we
recognize and are prepared for new business paradigms in a globalized world. At the
same time, we will always stay in touch with our heritage and enduring relationships
on which our bank is founded. By adopting a symbol as simple and powerful as the
Baroda Sun, we hope to communicate both.
INITIAL EMBLEM:

The emblem show a coin, symboilizing wealth, embossed with an an unpraised palm,
a safety cover for the depositor’s money with a cogwheel that promotes industrial
growth in tandem with the two corn ears that stan for the progress of the staple
agriculture growth in the country.

Marketing Initiatives
The mid-eighties marked the beginning of the shift to a buyers` market. The Bank
orchestrated its business strategies around the centrality of the customer. It diversified
into areas of merchant banking, housing finance, credit cards and mutual funds. A
string of segment specific branches entrenched operations in the profitable markets.
Overseas operations were revamped and structural changes intensified in the
territories to cater to second generation NRIs. Slowly but surely, the move to become
a one stop financial supermarket had been set in motion. Service delivery standards
were stipulated.

Technology was adopted to add punch. Employees across the board were inculcated
with the marketing concept. Aggressive marketing became the new business
philosophy.

People Initiatives
Bank of Baroda has always had an immense faith in the infinite potential of its
people. This has been historically demonstrated in its recruitment practices,
developmental initiatives, placement processes and promotion policies. Strategic HR
interventions like, according cross border and cross cultural work exposure to its
managers, hiring diverse functional specialists to support line functionaries and
complementing the technical competencies of its people by imparting conceptual,
managerial and leadership skills, gave the Bank competitive advantage. The elaborate
man management policies also made the Bank a breeding ground for business leaders.
The Bank provided around a dozen CEOs to the industry- men who went on to build
other great institutions. People initiatives were blended with IR initiatives to create an
effectively harmonious workplace, where everyone prospered.
Financial Initiatives
New norms for capital adequacy required new capital management strategies. In 1995
the Bank raised Rs 300 crores through a Bond issue. In 1996 the Bank tapped the
capital market with an IPO of Rs 850 crores, despite adverse market conditions
prevailing then, the issue was over subscribed, reflecting the positive public
perception of the Bank's fundamental financial strength.

The Future
Revolutionary and discontinuous changes in the operating environment are a stark
reminder that business success is 'impermanent'. The emergence of IT as a major
driver for change, has accentuated the need to initiate a major transformation
program. The conversion to an IT savvy, market driven bank will be a prerequisite to
survival and growth. A major and strategic step in hi-tech, was the establishment of
the Integrated Treasury branch, as a forerunner to full-fledged global treasury
operations. Towards creating a future Bank of Baroda, the Bank has adopted a
revolutionary new business strategy that will be enabled by a revolutionary new IT
strategy. Actioning this strategy will position Bank of Baroda as India's uncontested
premier bank.

At Bank of Baroda, change is a journey. It has a beginning. There will be no end. It

will be a long and difficult march. And the Bank will emerge stronger, more resilient
and positioned to become India's first bank of truly global standards. The relocation to
the imposing Baroda Corporate Centre is a true reflection of the Bank's resolve to
move ahead of the times. It will not be out of place now, as it stands on the threshold
of a digital era, to echo the same sentiments that guided the Bank in its platinum
jubilee year - 'a promising future is the sequel to a glorious past'.

International Presence:
In the year 1953, taking a pioneering step, the Bank opened its first overseas branch at
Mombasa on 14.12.1953 followed by two other branches at Kampala and Nairobi.
Subsequently, operations started in Dar-Es-Salaam in 1956 and in London in 1957. At
present, the Bank has 105 overseas network branches / offices in the following 27
countries:

1 Australia 10 Guyana 19 Tanzania

2 Bahamas 11 Hong Kong 20 Trinidad & Tobago
3 Bahrain 12 Kenya 21 Uganda
4 Belgium 13 Mauritius 22 UAE
5 Botswana 14 Malaysia 23 UK
6 Bangkok 15 South Africa 24 USA
7 China 16 Seychelles 25 Zambia
8 Fiji Island 17 Sultanate of Oman 26 Mozambique
9 Ghana 18 Singapore 27 Quatar

Subsidiaries

Domestic

 BOBCARDS Ltd.
 BOB Capital Markets Ltd.
 Nainital Bank Ltd.

Overseas
 Bank of Baroda (Botswana) Ltd.
 Bank of Baroda (Kenya) Ltd.
 Bank of Baroda (Uganda) Ltd.
 Bank of Baroda (Guyana) Ltd.
 Bank of Baroda (New Zealand) Ltd
 Bank of Baroda (Tanzania) Ltd
 Bank of Baroda (Trinidad & Tobago) Ltd.
 Bank of Baroda (Ghana) Ltd.
Business overview
An overview of various business segments

Retail Banking

Bank of Baroda has developed a strong retail banking franchise over the years. Retail
Banking is one of the key drivers of the Bank’s growth strategy and it encompasses a
wide range of products delivered to customers through multiple channels. The Bank
offers a complete suite of products across deposits, loans, investment solutions,
payments and cards to help customers achieve their financial objectives. The Bank
focuses on product differentiation as well as a high level of customer-service to
enable it to build its retail business.

The Bank has continued to develop its risk management capabilities in Retail
business, both from a credit and operations risk standpoint. The branch channel is
effectively utilized for growing the retail assets business, with loan and card products
being offered to existing clientele.

The growth areas identified by the Bank are in the areas of residential mortgages and
passenger car loans. Of the total retail loans portfolio, 57.47% is in the form of
secured loans (residential mortgages and auto loans).

The Bank offers a wide range of payment solutions to its customers in the form of
debit cards, prepaid cards and credit cards. As on 31st March 2014, the Bank has a
base of approximately 99,000+ debit cards, placing it among the leading players in the
country. The Bank also distributes third party products such as mutual funds, Bank
assurance products (life and general insurance), online trading, and Gold and Silver
coins through its branches.

The retail business of the Bank is supported by innovative services and alternate
channels, which provide convenience of transactions to customers. These channels
include an extensive ATM network, Internet banking, mobile banking and phone
banking.

International Retail
International Retail Business focuses specifically on the overseas sales channel, retail
foreign exchange business, remittances and retail businesses in overseas centers such
as Hong Kong and Singapore, where the Bank has a presence. The products offered in
the area of retail Forex and remittances include travel currency cards, inward and
outward wire transfers, traveler’s cheques and foreign currency notes, remittance
facilities through online portals as well as through collaboration with correspondent
banks, exchange houses and money transfer operators.
Business Banking
Business Banking leverages the Bank’s strengths – a well distributed network of
branches and a strong technology platform to offer the best in transaction banking
services. The Bank offers a range of current account products and cash management
solutions across all business segments covering corporates, institutions, central and
state government ministries and undertakings as well as small and retail customers.

The Bank is one of the top CMS providers in the country. The Bank acts as an agency
bank for transacting government business offering services to various Central
Government Ministries / Departments and other State Governments and Union
Territories. In order to provide solutions for business to effectively manage their
funds flow, the Bank has introduced liquidity management solution for corporate
customers. Similarly, a single window for all payment requirements was launched
with several advanced features such as setting a daily transaction limit for corporate
users, setting transaction limits for individual beneficiaries, prioritizing payment
methods, online stop payment and cancellation facilities.

Corporate Credit
Bank of Baroda has built a strong corporate banking franchise across corporate,
liability and asset businesses. Bank provides customized structuring and financing
solutions in a timely and comprehensive manner to its corporate customers with a
focus on building out a high quality credit portfolio. The Bank is among market
leaders in Debt Capital Markets and loan syndication business across segments,
sectors and geographies. The Bank also provides full range of Treasury and Trade
Finance solutions to its corporate clients. The Bank offers technology enabled
transaction banking and cash management services to customers across Government,
financial institutions and corporate segments. Bank’s infrastructure business includes
project and bid advisory services, project lending, debt syndication, project
structuring and due diligence, securitization and structured finance.

Treasury
The Bank has an integrated Treasury, covering both domestic and global markets,
which manages the Bank’s funds across geographies. The Bank’s treasury business
has grown substantially over the years, gaining market share and continuing to be
among the top five banks in terms of forex revenues. The Treasury plays an important
role in the sovereign debt markets and participates in the primary auctions held by
RBI. It also actively participates in the secondary government securities and corporate
debt market. The foreign exchange and money markets desk is an active participant in
the inter- bank/ FI space. The Bank has been exploring various cross-border markets
to augment resources and support customer cross-border trade. The Bank has emerged
as one of the leading providers of foreign exchange and trade finance services. It
provides a gamut of products for exports and imports as well as retail services. Its
cutting edge technology provides comprehensive and timely customer services.
International Banking
The international operations of the Bank form a key enabler in its strategy to partner
with the overseas growth potential of its domestic clientele, who are venturing abroad
or require non-rupee funds for domestic projects. The Bank now has a foreign
network of branches in 14 other countries, which include Bahamas, Bahrain, Belgium,
China, Fiji Islands, Hong Kong, Mauritius, Republic of South Africa, Seychelles,
Singapore, Sultanate of Oman, United Arab Emirates, United Kingdom and United
States of America and tree representative offices (Australia, Malaysia and Thailand.)
While corporate banking, trade finance, treasury and risk management solutions are
the primary offerings, the Bank also offers retail liability products Further, the Bank’s
alliances with banks and exchange houses in the Middle East provide the support for
leveraging the business opportunities emanating from the large NRI Diaspora present
in these countries.

Small and Medium Enterprises

The Small and Medium Enterprises (SME) segment is a thrust area of the Bank. The
business approach towards this segment, which is expected to contribute significantly
to economic growth in future, is to build relationships and nurture the entrepreneurial
talent available. The relationship based approach enables the Bank to deliver value
through the entire life cycle of SMEs. The Bank has segmented its SME business in
three groups: Small Enterprises, Medium Enterprises and Supply Chain Finance. The
Bank extends working capital, project finance as well as trade finance facilities to
SMEs.

Information Technology
Technology is one of the key enablers for business and delivery of customized
financial solutions. The Bank continues to focus on introducing innovative banking
services through investments in scalable and robust technology platforms that delivers
efficient and seamless services across multiple channels for customer convenience
and cost reduction. The Bank has also focused on improving the governance process
in IT.

The Bank has undertaken various steps in order to align itself towards RBI guidelines
on security and governance, including setting up of Board and Executive level
committees and working on IT operations and other key areas.

Agriculture
The Bank continues to drive and expand the flow of credit to the agricultural sector.
More than 400 branches of the Bank have dedicated officers for providing farm loans.
Products and solutions are created specifically with simple features and offered at
affordable rates to rural customers. The Bank has also adopted a value-chain
approach, wherein end-to-end solutions are being provided for various stakeholders. It
also offers various customized solutions to meet the regional requirements.

Human RESOURCES
The Bank aims in creating and developing human capital to realize its vision of
nurturing a mutually beneficial relationship with its employees. Employee
engagement and learning, leadership development, enhancing productivity and
building multiple communication platforms thus occupied center stage in the Bank’s
HR objective. The Bank continues to maintain a strong employer brand in the
financial services sector especially on the campuses of the premier business schools
of the country. Bank of Baroda has a middle age workforce with an average age of 38
years.

Various initiatives taken up by the Bank

Strategic initiative
The Bank’s focus was optimize human resource management in a highly motivating
work environment, rawing maximum mileage out of the available Information
Technology and imbibing a full-fledged marketing culture to promote a sense of
professionalism in approach and attitude. BOB completed Core Banking Solution
(CBS) rollout in 4,952 domestic branches covering 94% of its business as at 31st
March 2014.

The Bank launched several new IT products and services such as Phone Banking,
Corporate Cash Management System, Payment Messaging Solution and Global
Treasury.

The Bank took many initiatives introducing new products both on assets and liability
sides such as Loan for Earnest Money Deposit, Baroda Additional Assured Advance
to NRIs, Baroda Bachat Mitra etc.

In its role as a partner to the rural development, the Bank, besides meeting all its
credit deployment targets, established four Baroda Swarojgar Vikas Sansthan for
imparting training to the unemployed youth and facilitating their gainful self-
employment.

It organized awareness programmes for SME borrowers to educate them about

various products, services and precautionary steps to be taken in view of global
financial crisis.

Marketing Initiatives
The mid-eighties marked the beginning of the shift to a buyers` market. The Bank
orchestrated its business strategies around the centrality of the customer. It diversified
into areas of merchant banking, housing finance, credit cards and mutual funds. A
string of segment specific branches entrenched operations in the profitable markets.
Overseas operations were revamped and structural changes intensified in the
territories to cater to second generation NRIs. Slowly but surely, the move to become
a one stop financial supermarket had been set in motion. Service delivery standards
were stipulated.

Technology was adopted to add punch. Employees across the board were inculcated
with the marketing concept. Aggressive marketing became the new business
philosophy.

Quality Initiatives
In its relentless striving for quality perfection, the Bank secured the ISO 9001:2000
certifications for 15 branches. By end of the current financial, the Bank is targeting 54
more branches for this quality certification.

People Initiatives
Bank of Baroda has always had an immense faith in the infinite potential of its
people. This has been historically demonstrated in its recruitment practices,
developmental initiatives, placement processes and promotion policies. Strategic HR
interventions like, according cross border and cross cultural work exposure to its
managers, hiring diverse functional specialists to support line functionaries and
complementing the technical competencies of its people by imparting conceptual,
managerial and leadership skills, gave the Bank competitive advantage. The elaborate
man management policies also made the Bank a breeding ground for business leaders.
The Bank provided around a dozen CEOs to the industry- men who went on to build
other great institutions. People initiatives were blended with IR initiatives to create an
effectively harmonious workplace, where everyone prospered.

Financial Initiatives
New norms for capital adequacy required new capital management strategies. In 1995
the Bank raised Rs 300 crores through a Bond issue. In 1996 the Bank tapped the
capital market with an IPO of Rs 850 crores, despite adverse market conditions
prevailing then, the issue was oversubscribed, reflecting the positive public perception
of the Banks fundamental financial strength.

Digital Initiatives
Bank of Baroda pioneered the shift from manual operating systems to a computerized
work environment. Starting with ledgers, to ledger posting machines, through
ALPMs, the Bank graduated to the use of Unix based systems to Mainframes; to
client server based Total Branch Mechanization Systems. Today, the Bank has 3918
computerized branches, covering 75% of its network and 91.64% of its business.
Alive to the growing complexities of an intensely competitive marketplace and the
mounting expectations of customers fuelled by this competition, the Bank reworked
its distribution strategy. It ventured beyond the brick and mortar delivery channel into
ATMs and the Omni BOB range of anytime, anywhere electronic channels of PC
banking, telephone banking. The e-banking products used state of the art technologies
like digital certificates, smart card authentication and secure networking.

The new IT strategy, in the process of implementation will see the deployment of
Core Banking Systems, Multi Service Transaction Switch, Payment Gateways - all
geared to deliver convenience banking.

Corporate Social Responsibility (CSR) Initiatives

Bank has always upheld inclusive growth high on its agenda. Bank has established 36
Baroda Swarojgar Vikas Sansthan (BSVS) for imparting training to unemployed
youth, free of cost for gainful self-employment & entrepreneurship skill development
and 52 Baroda Gramin Paramarsh Kendra and for knowledge sharing, problem
solving and credit counseling for rural masses across the country. Bank has also
established 18 Financial Literacy and Credit Counseling Centers (FLCC) in order to
spread awareness among the rural masses on various financial and banking services
and to speed up the process of Financial Inclusion.

The Future
Revolutionary and discontinuous changes in the operating environment are a stark
reminder that business success is impermanent. The emergence of IT as a major
driver for change, has accentuated the need to initiate a major transformation
program. The conversion to an IT savvy, market driven bank will be a prerequisite to
survival and growth. A major and strategic step in hi-tech, was the establishment of
the Integrated Treasury branch, as a forerunner to full-fledged global treasury
operations. Towards creating a future Bank of Baroda, the Bank has adopted a
revolutionary new business strategy that will be enabled by a revolutionary new IT
strategy. Actioning this strategy will position Bank of Baroda as India’s uncontested
premier bank.

At Bank of Baroda, change is a journey. It has a beginning. There will be no end. It

will be a long and difficult march. And the Bank will emerge stronger, more resilient
and positioned to become India’s first bank of truly global standards. The relocation
to the imposing Baroda Corporate Centre is a true reflection of the Banks resolves to
move ahead of the times. It will not be out of place now, as it stands on the threshold
of a digital era, to echo the same sentiments that guided the Bank in its platinum
jubilee year - a promising future is the sequel to a glorious past.
 Hierarchy of supervisory at Regional office Indore

Regional
Manager

Deputy Deputy
Regional Regional
Manager 1 Manager 2

Credit Risk
Credit monitoring Human Operations &
Resource Services

Priority
Recovery
Sector Premises &
Security
Equipment’s

Planning
Marketing
Dept. Retail Credit
Audit &
Inspection

IT Dept.
Product and
Services
Of
Bank of
Baroda
Bank of Baroda offers its services majorly in six parts:
A. Personal Banking
B. Business Banking
C. Corporate Banking
D. International Banking
E. Treasury Banking
F. Rural Banking

A. Personal Banking

1. Deposits offered by Bank of Baroda:

a) Fixed Deposits

Bank of Baroda offers simple Fixed Deposits (at very competitive interest rates),
which can be opened with a minimum investment of Rs 1,000. The tenure of their
deposit must be a minimum of 7 days for deposit amount of Rs.100/- lacs and above
& minimum 15 days for amounts less than Rs.100/- lacs. Fixed deposit accounts can
be opened with instructions payable to 'either or Survivor’, payable jointly, payable to
any one of the depositor’s etc. Following fixed deposit schemes are offered by bank:

 As Recurring Deposits:

o Recurring Deposit
o Baroda Samriddhi Quarterly Recurring Deposit
o Baroda Samriddhi Half Yearly Recurring Deposit
 o Yatha Shakthi Jama Yojana

 For Deposits up to 12 months:

o Short Deposits

 For Deposits over 12 months:

o Baroda Double Dhamaka Fixed Deposit

o Monthly Income Plan
o Quarterly Income Plan
o Half Yearly Income Plan
o Regular Income Cum Recurring Deposit
o Capital Gain Account Scheme, 1988

b) Current Deposits

Current Deposits product is ideal for firm, companies, institutions, HUF, individuals
etc., who need banking facility more frequently and provides flexibility through
overdraft facility. This is one of the most basic and flexible deposit options, allowing
transaction without limiting the numbers. Bank of Baroda's Current Deposits are the
backbone of all trading activities. Following current account options are available:

o Baroda Advantage Current Account

o Baroda Premium Current Account (BPCA)
o Baroda Premium Current Account-Privilege (BPCAP)

c) Savings Deposits

Depending on the nature of the account and the governing terms and conditions, Bank
of Baroda offers following Savings Accounts:

o Baroda Centenary Savings Account

o Savings Bank Account
o Super Savings Account
o Baroda Basic Savings Ac
o Baroda Salary Advantage Saving Account
o Baroda Bachat Mitra

2. Gen-Next services offered by Bank of Baroda:

a) Gen-Next Junior

This is a Special kind of Savings Bank Deposit product for children upto 18 years of
age to be made available in Gen-Next Pune branch. The customers using withdrawal
slip will operate account; Cheque leaves, standing instruction, ECS (debit), Debit
Card, Internet banking facility etc. Interest rate, periodicity and method of application
of interest will be similar to usual Savings Bank a/c. The other provisions like transfer
to dormant, in operative etc. will be same as applicable to usual Savings Bank a/c.

b) Gen-Next Lifestyle

It is a term loan (combo pack) for purchase of Home Furnishings / Consumer Durable
goods (includes color T.V., video camera / refrigerator / washing machine / music
system / air-conditioners / cooking system etc.), vehicle (two wheeler and four
wheeler), laptop/pc or any other electronic gadget. Minimum age to apply is 21 years
and maximum age is 45 years.

c) Gen-Next Power

This is a special Savings Deposit product having an in built feature of overdraft

facility to be available at Gen-Next Pune branch. The product is targeted to working
executives and other working professionals. There is no minimum balance
requirement in the account and as such no service charges shall be levied towards
this.

Other Features

 Anywhere banking facility.

 Personalized Debit Card.
 Free Internet Banking facility.
 Travel, Investment and FOREX Support.
 Free Demat Account opening.
 E - Trading facility available.
 Free NEXT GEN GOLD Credit Card with Add on card for spouse (As per
eligibility criteria fixed by BOB Cards Ltd.).
d) Gen-Next Suvidha

This is a Recurring Deposit product enabling the customer to make regular savings on
monthly basis and earn higher interest. “Gen-next Suvidha” Account can be opened
with monthly installments of Rs.100/- or above & in multiples thereof with a
maximum of Rs.10, 000/- per month.

3. Loan services offered by Bank of Baroda:

 Home Loan
 Home Loans to NRIs / PIOs
 Home Improvement Loan
 Interest Subsidy Scheme for Housing The Urban Poor (ISHUP)
 Loan Against Future Rent Receivables
 Mortgage Loanhttp://www.bankofbaroda.co.in/pfs/mortgageloans.asp
 Advance Against Securities
 Education Loan
 Baroda Career Development Loan
 Auto Loan
 Two Wheeler Loan
 Car Loan to NRI
 Traders Loan
 Loan to Doctors
 Baroda Ashray (Reverse Mortgage Loan)
 Personal Loan
 Baroda Advance Against Gold Ornaments /Jewellries (At Urban & Metro
Centres)
 Loan for financing Individuals for subscription to Public Issues /IPO
  Baroda Additional Assured Advance (AAA) (Resident / NRIs /PIOs)
 Baroda Traders Loan Against the Security of Gold Ornaments /Jewelries (At
Urban & Metro Centres)
 Credit Risk Guarantee Fund Scheme for Low Income Housing (CRGFS)
 Baroda Traders Gold Card Scheme
 Baroda Premium Personal Loan.

4. Credit Cards offered by Bank of Baroda:

a) BOBCARD Signature (Visa)

BOBCARD presents these premium cards to offer its gratitude to the High Net worth
Individuals. Exclusively designed, these cards are packed with great features and
benefits. So, get your signature Visa today and be a part of the evolution.

b) BOBCARD Platinum (Visa, Master & Assure)

Bob card Platinum Credit Cards are designed to suit lifestyle and stature and to
empower the distinction and recognition you desire. Its inbuilt offers and privileges
bring elegance to your life at ease.

c) BOBCARD Titanium (Master)

Bobcard Titanium is an innovation to take you beyond the boundaries of Classic &
Gold Cards. It is a value-added, distinctive credit card that brings together exclusive
MasterCard privileges with inherited economy and suite of Bobcards. This card is
guaranteed to assist you to transform your lifestyle in the most cost effective manner.

d) Co-Branded Card

Bobcard BBA cobranded Platinum Credit Card is an attempt to pay gratitude to

enduring and enriching relationship of Bank of Baroda and Bombay Bullion
Association over several years. The card is exclusively designed for BBA members.
Its distinctive features, benefits and privileges give an extra mileage to BOB BBA
relationship.

5. Debit Cards offered by Bank of Baroda:

a) Baroda Vision Electron

Baroda Visa Electron Debit Card is an ideal choice for your requirement of
performance, simplicity, flexibility, and worldwide recognition. For securing hotel
reservations, buying books online, or making everyday purchases Baroda Electron,
offers value proposition, reliable form of payment, recognized in more than 170
countries around the globe.

b) Baroda Maestro

Baroda Maestro meets the growing requirement of enhanced security in debit card
usage and creates customer confidence. In this card, authorization happens through
Personal Identification Number, even for shopping transactions, similar to ATM
transaction. The card is issued in affiliation with Master Card and is usable at any
ATM/ Merchant outlet having MasterCard logo and NFS member bank ATMs in the
country. Baroda Maestro card is an International debit card, which can be used within
the country and abroad.
c) Baroda Master Card ‘Combi’ Gold

Baroda Master Card ‘Combi’ Gold, a golden choice for our premium customers,
which is envisaged to meet their requirement of higher spend/cash withdrawal. The
card is issued in affiliation with Master Card and is usable at any ATM/ Merchant
outlet having MasterCard logo and NFS member bank ATMs. The card makes
merchant and online shopping very convenient and safe. Baroda Gold debit card is
usable within India and abroad.

d) Baroda Visa Platinum

Baroda Visa Platinum is an exclusive offer for all our esteemed customers allows
higher spending power, more cash withdrawal limits apart from a host of offers
extended by Visa International and Bank. A true privileged class experience.

e) RuPay Debit Card

It can be used only with PIN hence a more secured debit card. Card would be
accepted only at secured PIN based POS terminals. It is available to all customers
eligible for debit card issuance.

6. Services offered by Bank of Baroda:

a) Demat
An individual, Non-Resident Indian, Foreign Institutional Investor, Trusts, Clearing
Houses, Financial Institution, Clearing Members and Mutual Funds can open a Demat
account.

Key Benefits:

 Buy and sell shares and stock of any company listed on the stock exchange of
India i.e. NSE and BSE
 Make on line investment in mutual fund.
 Apply in IPO
  Trade in Futures and Options
 No threat of loss of shares due to faulty/bogus/forged delivery.
 Dividend and issuance of bonus shares are directly credited into linked accounts
and Demat accounts respectively.
 No share transfer fees or stamp duty.
 Application can be made vide facility of ASBA (Application Supported by
Blocked Amount) wherein amount does not get debited into the account and is
remitted only when shares are allotted.
 The shares trading account enables you to view live prices watch lists and place
transactions. The deposit account is linked to the trading account for seamless
transfer of funds.

b) Baroda Health

It is a Medical Insurance Scheme, available only to account holders of our Bank,

which takes care of the hospitalization expenses incurred by the customer up to the
amount of sum insured.

Key Benefits:
 Very low premium
 In this co-branded product, single premium (generally payable for a single
person) is payable and Medical Health insurance cover is available to family of
-4- (self, spouse and 2 dependent children) up to the amount insured without
any additional premium.
 A member or all the members in insured family can avail hospitalization
benefits during the policy period, to the extent of aggregate sum not exceeding
the sum insured.
 Premium paid is eligible for Income Tax exemption under Section 80 D as per
Income Tax Rules.

c) Remittances (Baroda Money Express)

The Baroda Money Express remittance facility ensures instant payments and transfer
of funds, saving you and your associates from waiting endlessly for funds to get
credited.

The facility is available at 345 branches across 53 centers in India inclusive of all
branches in Ahmedabad, Bangalore, Chennai, Delhi, Hyderabad, Mumbai, and Pune.
This facility is available for both retail and corporate customers enabling efficient and
easy transfer of money. So no more delays in transfer of funds typical of Banker's
Cheque, Demand Drafts, Mail Transfers and Telegraphic Transfers.

d) Collection Services

All branches of Bank of Baroda have the facility of collecting Cheque, Demand
Drafts, Interest Warrants, Dividend Warrants, and Refund Orders, Clean Bills and
Documentary Bills from customers and various centers. All Cheque and other
instruments are collected into properly introduced accounts and sent for collection on
the day of receipt from the customers or the next working day. The Funds collected in
this offering are credited to the customer's account within a guaranteed period of 7
days. Bank of Baroda's BOB Quick ensures a better collection service, which creates
new avenues of income and ensures better investment of funds.

e) ECS (Electronic Clearing Services)

This is a unique system under which Bank of Baroda helps companies and institutions
making heavy payments disburse these amounts directly into the bank accounts of the
beneficiaries such as account holders, shareholders, investors etc.

Key Benefits:

 Prompt payment on the due date.

 Convenient receipt of money reduces trips made to the bank for depositing
dividend/interest warrants.
 Elimination of fraudulent encashment against instruments lost in transit.

f) Government Business

Apart from rendering all other Personal banking services to its

customers/public, Bank of Baroda also works as Agency Bank for undertaking
various types of Govt. Business viz. Following schemes are available at Bank of
Baroda:

 Public Provident Fund 1968 Scheme (PPF)

 Senior Citizens Savings Scheme, 2004 (SCSS 2004)
 Govt. of India 8% Savings Bonds 2003 (Taxable)
 National Pension System (NPS) & NPS – Lite – Swavalamban
 Collection of Central/State Taxes

g) NACH

7. Locker Facility offered by Bank of Baroda:

Bank of Baroda offers a safe, trustworthy space to store your valuables, jewelry,
documents and other things dear to you.

Key Benefits:

 State-of-the-art Lockers, the safe deposit vaults with fully equipped, latest
burglar alarm systems.
 For additional safety, the Locker holder assigns a code word, which further
increases security.
 Available in different sizes as per your requirement.
 These Lockers and their contents can be nominated to people near and dear to
you.

B. Business Banking

1. Deposits

a) Short Term Fixed Deposits

Ideal for those considering a transitory deposit during their business ventures. The
extremely short period of one year also helps in fast liquidity in addition
to a good rate of interest.

Key Benefits:

 Ideal for all transitory savings.

 High liquidity with good returns.
 Avail of Overdraft / loan against deposit up to 95% of the deposit amount
without the hassles of a guarantor or processing fee or, filling of any forms etc.
  Ideal for meeting short-term commitments, as these advances are also available
for a single day and till a maximum of 12 months.
 On pre-matured withdrawal of your deposits amount, interest will be calculated
at 1% below the rate applicable for the period of deposits.
 Can be used as margin money for Non-fund based facilities.

b) Long Term Fixed Deposits

Ideal for long-term investments. Secure money that earns good returns and can be
easily liquidated.

Key Benefits:

 Easy liquidity even with a long-term period.

 Increasing interest in proportion to the increasing term of deposit

c) Current Account

Current Deposits product is ideal for firm, companies, institutions, HUF, individuals
etc., who need banking facility more frequently. This is one of the most basic and
flexible deposit options, allowing transaction without limiting the numbers.

2. Loans and Advances offered by Bank of Baroda:

In addition to Working Capital Finance and Term Finance, Bank of Baroda has laid
out a comprehensive suite of products specifically catering to SME Borrowers. Loans
and Advances offered by Bank are as follows:

 Baroda Professionals
 Scheme for Textile Industry
 Working Capital Finance
 Term Finance
 MSME
 Baroda SME Loan Pack
 Baroda Vidyasthali Loan
 Baroda Arogyadham Loan
 Baroda Laghu Udhyami Credit Card
 Baroda Artisans Credit Card (BACC)
 Baroda Weavers Credit Card
 Technology Upgradation Fund Scheme (TUFS) For Textile And Jute Industries
 Credit Linked Capital Subsidy Scheme (CLCSS) For SSI Units
 Composite Loans
 Collateral Free Loans Under Guarantee Scheme Of Credit Guarantee Fund
Trust For Micro And Small Enterprises
  SME Short Term Loans
 SME Medium Term Loans
 Baroda SME Gold Card
 Scheme for Financing Energy Efficiency Projects
 Baroda Overdraft Against Land and Building
 Prime Minister's Employment Generation Programme (PMEGP)
 Loans Under Interest Subsidy Eligibility Certificate Scheme of Khadi & Village
Industries Commission (KVIC-ISEC)
 Baroda MSME Capex Card & Baroda MSME Capex Loan

3. Key Services offered by Bank of Baroda:

a) Remittances

Key Benefits:

 Can be used to transfer money to the beneficiary's account in the same bank, or
another bank or even to their residential/office address, thus offering convenient
options.
 This electronic remittance is the fastest way of transferring money from one
place to another, at no additional cost.
 Added convenience of hassle free and quick customer service.
 The facility is available at 345 branches across 53 centres in India inclusive of
all branches in Ahmedabad, Bangalore, Chennai, Delhi, Hyderabad, Mumbai,
and Pune.

b) Collection Services

All branches of BoB are prompt in terms of the collections and forwarding of cheques
and other instruments. For state capitals, amount is credited only after 10 days. If
these instruments are not collected within 14 days of lodgement, interest @ 2% per
annum over savings bank rate is paid and is credited to the customer's account,
without the customer having to claim it. Branches also accept requests for collection
of Loan Certificates issued by Joint Stock Cos.; prize money of Lottery Tickets,
Foreign Currency Notes etc.

c) ECS

This is a unique system under which Bank of Baroda helps companies and institutions
making heavy payments disburse these amounts directly into the bank accounts of the
beneficiaries such as account holders, shareholders, investors etc.

Key Benefits:
Corporate bodies who have periodic, large volume payments to a fixed group
investors / beneficiaries enjoy the following benefits:

 Savings in administrative cost presently being incurred for printing of paper

instruments in MICR format and dispatching them by Registered Post.
 Elimination of fraudulent encashment due to loss in transit of instruments.
 Reconciliation of transactions is made automatic. By the time the ECS cycle is
completed, the user institution gets electronic data file from its bank with the
date of payment and banker's confirmation thereon.
 Cash management becomes easier as arrangement for funds is to be made only
on the specified date.
 Ensures better customer / investor service.
 In line with practices adopted by best companies the world over who pay their
shareholders / investors and customers.

d) Debit cards

The Bank of Baroda International Debit Card is accepted at over 10000 Visa Electron
ATMs in India and 850000 ATMs worldwide. The card is also accepted at any
100000 merchant outlets in India and around 13 million globally. The card enables
you to enjoy the convenience of cash-less purchasing power without the fear of
overdrawing your account.

Key Benefits:

 Take advantage of the most widely accepted card and be able to withdraw from
any ATM displaying the VISA logo, in India and abroad.
 At VISA Electron merchant shops, it can also serve as your electronic purse,
and money gets debited instantly from your account, as you pay.
 The Card allows you to get mini-statements from Bank of Baroda ATMs, or to
check the balance in your account, avoiding visits to even our nearest branches.

e) Baroda e-Gateway

Bank of Baroda provides a facility, to receive payment online from any debit/credit
card, called ‘Baroda e-Gateway’ (Internet Payment Gateway), which is a safe, secure
and trusted payment solution for e-Commerce/online business.

Baroda e-Gateway is ideal for Schools and Colleges for Fee Collection, Travel agents,
Merchants who wish to sell online products / services, Associations to receive
subscriptions from their members, Govt. & Semi-Government offices, Municipal
Corporations, Electricity Boards and other Utility Payment Services companies to
collect dues/payments from consumers etc.
4. Locker Facility offered by Bank of Baroda:
Bank has adopted the various guidelines issued by Reserve Bank of India in
connection with allotment of Safe Deposit Lockers and Safe Custody articles facility
and allowing access to the nominees / survivors / legal representatives in the event of
the death of the Locker Hirer/s and Depositor/s of Safe Custody articles. The lockers
will be allotted on first come first served basis to the customers only. The branches
maintain a waiting list register for the purpose. The Bank has the facility of
nomination in case of deposit of Locker and safe custody articles facility. However,
the facility of nomination is not available in case of deposit of safe custody articles by
more than one person.

5. Baroda Cash Management Service

C. Corporate Banking

1. Wholesale Banking
Under Wholesale Banking the corporate customers are identified as Large and Mid-
corporates. Companies having annual sales turnover of over Rs. 500 crore are
classified as Large Corporate and those having annual sales turnover between Rs 100
crore to 500 crore are classified as Mid Corporate. Under Wholesale Banking it has
been proposed that Large & Mid Corporate customer of the Bank is located at the
identified branches for providing them better services. Initially 11 important centers, 2
at Mumbai & 1 each at Delhi, Chennai, Bangalore, Hyderabad, Ahmedabad, Pune,
Baroda, Kolkata and Raipur have been identified for the rollout of Wholesale
Banking. The Corporates can take advantage of the expertise available at Wholesale
Banking Branches.

The following are the areas in which Client Service Team can help the Large &
Mid Corporate:

 Trade Finance products

 Cash Management Products
 Treasury Products
 Bridge Loans
 Syndicated Loans
 Infrastructure Loans
  Cross Currency/Interest Rate Swaps
 Foreign Currency Loans and many more depending upon the needs of the
Corporate.

2. Deposits

a) Short term

Ideal for those considering a transitory deposit during their business ventures. The
extremely short period of one year also helps in fast liquidity in addition
to a good rate of interest. Minimum deposit required would be Rs.1000/-, which has
to be made for a minimum of 7 days, and can then is extended to a maximum of 12
months. Compound interest is calculated quarterly and the rate is decided based on
the maturity period.

b) Flexi Deposit Schemes

Ideal for corporations that have huge cash flow and need to transfer and manage funds
in excess of 5 crores or more. Deposits can be maintained for as little as 7 days to one
full year.

Key Benefits:
Targets high value customers offering them the following conveniences:

 Flexibility - Allows withdrawals of deposit without any restriction on amount,

even before the maturity of the deposit, without a charge for premature
withdrawal.
 The Interest on such premature withdrawal will be paid at the rate applicable to
the period for which the deposit has remained with the Bank.
 Just just serving one days’ notice can make withdrawals.

c) Term Deposits

It is ideal for long-term investments. Secure money that earns good returns and can be
easily liquidated.

Key Benefits:

 Avail of Overdraft / loan against deposit up to 95% of the deposit amount (plus
accrued interest) without the hassles of a guarantor or processing fee or, filling
of any forms etc.
 Interest will be charged at 1.50 % over the deposit rate with monthly rests in
case of depositor being the borrower and higher in case your friends wants to
avail of the loan.
  No processing fee is charged on loans and advances taken against Bank's
Deposits.
 For deposits up to Rs. 5 Lakhs, no interest will be charged for premature
withdrawal, provided it has remained with bank for a minimum period of 12
months.
 Automatic renewal of deposit on maturity, thereby avoiding interest loss in the
absence of instructions from you.

3. Loans and Advances

For immediate financial need in times, Bank of Baroda has a host of loan options for a
corporate to choose from. These enable smooth functioning without monitory hassles.

Loan and advances offered by Bank of Baroda are –

 Working Capital
 Line of Credit
 Export Finance
 Bill Finance
 FCNR (B) Loans
 Bridge Loans
 Advance against Shares
 Loan against Rent Receivables
 Term Finance
 Short Term Corporate Loan
 Project Finance
 Infrastructure Finance
 Takeover of Accounts
 Non Fund Based Services

4. Services
In addition to the loans and advances offered by Bank of Baroda, there are other
value-added services that it provides to its corporate customers. The services offered
are listed as follows:

 Appraisal & Merchant Banking

o Appraisal
o Loan Syndication
o Other Consultations

 Cash Management & Remittances

 o Cash Management Service
o Remittances & Collection

D. International Banking

1. Foreign Currency Credits

The Foreign currency denominated credit facilities are granted to the Indian
corporations in India as well as at the Money Centre Branches abroad. Corporations
interested in raising foreign currency funds both in India and abroad may contact in
India the branches they are dealing with, the Position Maintaining Offices (PMO's/
Authorized Foreign Exchange Branches), Corporate Banking Branches, Industrial
Finance branches or any of the major branch in the city. They may also contact the
Bank's Regional Offices/ Zonal Offices for the required information/ guidelines.

2. External Commercial Borrowings

Bank of Baroda is very active and is a leading player in granting and arranging
various forms of foreign currency facilities through ECB route for the Indian
Corporates. BOB focuses on all type of foreign currency credit requirements of Indian
corporates in arranging the Foreign Currency Loans. Bank of Baroda has a few
decades of experience in arranging foreign currency loans. This long experience and
wide presence across the globe brings leverage to BOB to understand the ECB market
better thus offer best terms to the clientele.
International Merchant Banking Cell (IMBC) has been set up at BCC, Mumbai to pay
focused attention to the international merchant banking needs of Indian corporates
with special emphasis on External Commercial Borrowing.

3. FCNR (B) Loans

Corporate can avail loans from Bank of Baroda. The Indian corporates/ firms are
allowed to raise the funds through foreign currency loans at select Indian branches
within the prevailing policy guidelines of the Bank/ RBI.

Key Benefits:

FCNR (B) loans are beneficial to the corporates on account of following:

 At times, it may entail lesser interest cost vis-à-vis Rupee borrowings.

  The borrower is not required to go to the International market for raising the
funds, as foreign currency funds are made available in India reducing the cost of
raising such funds.

4. Export Finance

BOB offers both pre and post shipment credit to the Indian exporters through Rupee
Denominated Loans as well as foreign currency loans in India. Exporters having firm
export orders or confirmed L/C from a recognized Bank can avail the export credit
facilities from BOB provided they satisfy the required credit norms. Rupee export
credit is available for a maximum period of -360- days from the date of first
disbursement. The corporates, if required can book forward contracts in respect of
future export credit drawls. BOB offers financing of export by way of bill discounting
of export bills to provide post shipment finance to the exporters at competitive
international rate of interest.

5. Import Finance

Bank of Baroda provides various types of funding/ services to the importers for
facilitating the imports in the country. The vast network of Bank's overseas branches/
subsidiaries and Correspondent Banks worldwide facilitate prompt & efficient
services to the importers. All the facilities are subject to the prevalent rules of the
Bank/ RBI guidelines.

The various facilities provided are:

 Collection of import bill.

 Opening of Import L/Cs (Sight/ DA)
 Financing of import by way of Foreign Currency Loans
 Issuing Guarantees etc. on behalf of importers.

6. Correspondent Banking
The extensive worldwide network of branches of Bank of
Baroda offers Correspondent Banking services to the Indian Banks as well as banks
from other countries. The New York, Brussels and London Branches of the Bank are
equipped with latest technology and are having trained and experienced staff for
handling the maintenance of Nostro accounts in US$, Euro and GBP respectively.
The overseas presence of the Bank is further supported by a large number of
correspondent Banks (more than 500) that gives Bank of Baroda access to every
corner of the Globe.
The main services provided are:

 Collection of bills both Documentary and Clean.

  Advising / confirming of L/Cs opened by Indian Banks.
 Discounting of Bills drawn under L/Cs as well as outside L/Cs.
 Maintenance of foreign currency accounts (Nostro in US$, Euro, GBP at New
York, Brussels and London respectively) for settlement of transactions (Link).
 Making foreign currency payments/ remittance on behalf of customers of Indian
Banks

7. Trade Finance
Bank of Baroda through its overseas branches and subsidiaries is very active in
financing of Usance post sales international trade bills by way of discounting of the
same. With its large foreign currency resources and overseas presence, Bank of
Baroda is in a position to offer the most competitive rates for discounting of these
bills. The bills under the L/Cs of the most of the Indian Banks as well as International
Banks can be discounted at competitive rates.

8. International Treasury
Bank of Baroda has a strong presence in the Treasury Market in India as well as
abroad. The overseas Money Centre Branches undertake the Forex treasury operations
on behalf of the customers. All the Forex treasuries at the overseas money center
branches are equipped with state of art technology, highly experienced and motivated
staff with professional skills. These branches deal in all the major international
currencies i.e. US$, GBP, Euro, Yen as well as other currencies. These branches
undertake the following treasury related activities:

 Forex Inter Bank Placements/ Borrowings

 Sale & Purchase of currency on behalf of customers
 Forward Cover Bookings
 Cross Currency Swaps
 Interest Rate Swaps (IRS)
 Forward Rate Arrangements (FRA's)
 Forex Money Market Operations

E. Treasury Banking

1. Domestic Operations
Bank of Baroda has set up dedicated desks at the SITB, headed by experienced
professionals, for undertaking various types of treasury activities in different financial
markets. Apart from activities pertaining to management of funds and liquidity, the
domestic treasury also handles financial instruments like:
  Commercial Papers (CP)
 Certificate of Deposits (CD)
 Government Securities
 Treasury Bills (TB)
 Bonds and Debentures
 Equities and various other derivatives.

The products and services offered by SITB cater to the inter-bank market as well as to
the corporate customers of the bank. The Bank is an active participant both in the
inter-bank market and the corporates for all the products.

2. Forex Operations
The modern state-of-the-art dealing room at its Specialized Integrated Treasury
Branch (SITB) at BKC, Mumbai provides the necessary wherewithal to its 152
designated branches across the length and breadth of the country authorized to handle
foreign exchange business of its clientele. The bank has retained its primacy as a
leading market maker both in spot and forward markets. The forex-dealing desk at
the SITB is provided with all modern communication facilities, all its authorized
branches via Reuters Automated Dealing System, to provide on-line quotes for
foreign exchange transactions.

Since most of its overseas branches are strategically situated at places where sizeable
Non-resident Indians are residing, the Bank is in a position to deliver its products
promptly and efficiently to its NRI customers. The range of products includes
remittance facilities and acceptance of deposits in Indian Rupees (NRE / NRO) as
well as in designated foreign currencies (FCNR). Resident as well as Returning
Indians can avail of benefits like Resident Foreign Currency Accounts (RFC).

F. Rural Banking

Various services offered under rural banking are as follows:

 Baroda General Credit Card Scheme (BGCC)

 Baroda Kisan Credit Card (BKCC)
 Agricultural Implements
 Tractors and Heavy Agricultural Machinery
 Financing Second Hand Tractors
 Cultivation of Crops
 Farm Produce Marketing Loan / Financing against warehouse receipt
 Irrigation Potential
 Baroda Kisan Tatkal Loan Scheme
 Dealers of Agriculture Inputs
 Financing Agencies Providing Custom Services To Farmers
 Providing Employment To Unemployed Technicians Through Agro Service
Centers
 Agriclinics and Agribusiness Centers by Agriculture Graduates
 Financing Construction of Farm Building and Structures
 Construction / Expansion / Modernization / Renovation of rural godown
 Development of Horticulture
 Land Development
 Scheme for Loan Against Gold Ornaments / Jewellery
 Financing Scheduled Caste/Scheduled Tribes
 Scheme for purchase of Agricultural land
 Scheme For Construction Of Sanitation Facilities In Rural Areas