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Bank of Baroda drops amid volatility

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Capital Market
Last Updated : Dec 31 2014 | 8:17 PM IST

Bank of Baroda fell 0.08% to Rs 1,082 at 13:06 IST on BSE after the bank said it has decided to revise interest rates on term deposits of below Rs 1 crore and Rs 1 crore & above with effect from 1 January 2015.

The announcement was made during market hours today, 31 December 2014.

Meanwhile, the S&P BSE Sensex was up 48.92 points or 0.18% at 27,452.46.

On BSE, so far 33,000 shares were traded in the counter as against average daily volume of 1.52 lakh shares in the past one quarter.

The stock was volatile. The stock lost as much as 0.63% at the day's low of Rs 1,075.95 so far during the day. The stock rose as much as 0.32% at the day's high of Rs 1,086.40 so far during the day. The stock had hit a record high of Rs 1,125.60 on 8 December 2014. The stock had hit a 52-week low of Rs 509 on 21 February 2014.

Bank of Baroda said it will reduce interest rate on term deposits of below Rs 1 crore in the maturity bucket of 1 year and upto 3 years to 8.75% from earlier 8.9% with effect from 1 January 2015. Also, interest rate on maturity bucket of above 5 years and upto 8 years was revised downwards to 8.5% from earlier 8.75%.

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Further, the bank revised downwards interest rate on bulk deposit of Rs 1 crore to Rs 10 crore in the maturity bucket of 271 days & above and less than 1 year to 8.25% from earlier 8.5% with effect from 1 January 2015. Also, interest rate on maturity bucket of above 1 year and upto 3 years was revised downwards to 8.5% from earlier 8.75%.

The bank also revised downwards interest rate on bulk deposit above Rs 10 crore and upto Rs 25 crore in the maturity bucket of 91 to 180 days to 7.25% from earlier 8% with effect from 1 January 2015. The interest rate on maturity bucket 181 to 270 days was revised downwards to 7.75% from earlier 8%. The interest rate on maturity bucket of 271 to less than 1 year was revised downwards to 8.25% from earlier 8.5%. The interest rate on maturity bucket of 1 year and upto 4 years was revised downwards to 8.5% from earlier 8.75%.

Bank of Baroda's net profit declined 5.5% to Rs 1104.22 crore on 13.1% growth in total income to Rs 11817.32 crore in Q2 September 2014 over Q2 September 2013.

Government of India holds 56.26% stake in Bank of Baroda (as per the shareholding pattern as on 30 September 2014).

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First Published: Dec 31 2014 | 1:02 PM IST

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