BoB lines up overseas spread plans

Bank of Baroda is seeking to expand its footprint abroad in a big way. The bank has received the Reserve Bank of India's approval to open an Offshore Banking Unit in Singapore, a representative office in Bangkok and a branch in Houston (Texas), USA.

It has initiated the process of obtaining approval of the host country regulatory authorities for beginning operations.

Feasibility studies are in progress for opening the offices in Australia, Canada, Europe, Middle East, New Zealand, Sri Lanka, Trinidad & Tobago and expand the network in Mauritius, South Africa, the U A E, the U K and the U S A.

"As part of our business strategy, we are expanding our overseas network. We will operationalise the Representative Offices in Guanghzou (China) and Kuala Lumpur (Malaysia), and fully owned subsidiary in Tanzania in the next three months," A S Khurana, general manager, said.

In 2003-04 the 38 overseas branches of Bank of Baroda contributed about 13 per cent to the global balance sheet and 19 per cent to global profits. The Bank's international operations completed 50 years in December 2003.

In the reporting period, the overseas branches deposits increased by 33 per cent to $ 1.972 billion, advances increased by 7 per cent to $ 1.505 billion, investment portfolio increased by 16 per cent to $ 0.413 billion.