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*72@dž0>ȉ January - March 2020 &/>2& :8&*>2@,:8 C;,?Î>ǐDzǸǶǨǒDzǸǵDZǤǯ >E,>}2G!¨.0 Corporate Album Inauguration of Bank of Baroda - IIT Bombay Innovation Centre The Bank of Baroda IIT Bombay Innovation Centre (BOB IIT B IC) was inaugurated by our MD & CEO Shri Sanjiv Chadha and Prof Subhasis Chaudhuri, Director, IIT Bombay in the presence of Shri P. S. Jayakumar, Ex MD & CEO of our Bank, Padmashri Mohandas Pai, Padmashri Deepak Pathak and our Executive Directors Shri Murali Ramaswamy, Shri Shanti Lal Jain and Shri Vikramaditya Singh Khichi during the Entrepreneurship Summit, 2020 on 04.02.2020. The objective of the centre is to evaluate and adopt emerging technologies, develop a culture of Innovation, foster LQQRYDWLRQVLQWKHÀQDQFLDOKDUGZDUHVSDFHDQGFRQWULEXWHWR Bank’s digital strategy. ::(@12>/>9>:?0?&ý>2>®7ý>28>>Ɲ,A2@>?*2@% Ƣƪ-272@ƣơƣơK::(@12>/>9>:?0?&½&@:2@ ,:?0?&ý>2>,A2@8>>>2>/>9>?791?*2@%?1>1>Ɵ Ú?*2@%.H"½ 1&>0>**@12>1:/>:>:(@7?8Ĉ*>2>1%?:;*G½Ɵ Ú7:2,20>**@1:>:(%@Ð&>,2>7>)7Ɲ#IƟ0*K2>K¦21>Ɲ@0&@ >&>(0Ɲ#IƟ0@1>?Ɲ:?0?&:?7>41Ŋ,(>?)>2@%Ɲ?70Î>41Ɲ/>2&:2>2Ŋ?)>2@%Ɲ,!*>4Ŋ4Ð0A@?*1>*( .G;G2>ƝÐ)>*>1>41Ɲ.WL(>:GÐ0Adž2>/>9>7::(@1:?0?&@2K8*80>Ɲ/A7*GĆ2GÎŊGÎ@1Ð0A@:K0*>'*(ƝÐ)>*>1>41.WL(> :G:;>10;>Ð.)ƙ2>/>9>7::(@1:?0?&ƚ@,A*@&Ř0>2?0&'>,A2@8>>Ŋ8>>Ð0A@0*KŘ0>2?0> ,§®'&'GƟ Bank launches Baroda Startup Banking %DURGD 6WDUWXS %DQNLQJ D ÁDJVKLS LQLWLDWLYH RI WKH %DQN ZDV inaugurated on 26.02.2020 by Shri Rajiv Kumar, IAS, Finance Secretary at New Delhi in presence of our MD&CEO Shri Sanjiv Chadha and Executive Director Shri Vikramaditya Singh Khichi. The initiative is aimed at making Bank of Baroda a preferred banking partner for the startup community and establishing connect with at least 2000 start-ups over the next two years. It has been launched simultaneously across 15 cities of the country. 2 *72@dž0>ƣơƣơ :@7ð>ƠSanjiv Chadha Ð.)?*(G870A1>1,>4¦)>2@>:(G8 0DQDJLQJ'LUHFWRU &KLHI([HFXWLYH2ႈFHU V0HVVDJH ?Ð1.WL?(1*:>?'1KƝ Dear Barodians, It is a great pleasure to communicate :G/B&,B7:010|Ɲ.;0K?7#džƢƪH:@0;>0>2@Ŋ>2%.Ĩ&;@:& with you through the pages of 24.G4I#> *>:>0*>22;G;Ɲ0AG.I.0HÎ@Ŋ*7@*&0Ŋ0>10 Bobmaitri in these unprecedented :G,Ŋ:>':7>(2&GĨÐ:þ&>;K2;@;HƟ times wherein we are seeing gradual easing of the strictest and longest 7¬1:G7>Ĝ>?;®:>;K*GŊ*>&G4I#> *Ŋ.>7B(/@;0>2G.*G,*@ lockdown in the wake of Covid-19 ƪƪƖ8>>Ĝ2ƪơƖ!@00|,¦2>4*>4B2&GĨ?*.>):G7>Ð(>* pandemic. ½;Ɵ1;7>®&70|:2>;*@1 ,4§¢);H20.?Œ:G7>ĜK?*2&2>2@ Being part of essential services, our Bank offered uninterrupted 2*GŊ,Ŋ(¤12 :>;,B%Ð1>:ĜŊ?4ŝ&&>«1Ú2&>ĩƟK?7# services notwithstanding the lockdown with 99% of branches and 90% of ATMs being operational. This is indeed a creditable 1K÷>ĜŊē,0|,ŊÐ1>:7>®&70|Ð8:*@12:2>;*@1;Ɵ achievement and I wish to place on record my profound K2K*>7>12:ŊÐ:>2Ŋ>2%(.>7Ë®&'«17®'>Ŋ:>'4/:/@GÎĜ appreciation for your unrelenting and brave efforts to ensure K«1>7:>?10KĞ,2?*?ă&&>2?*2>8>7>(>:>0*>2*>,W2;>;HƟ that banking services continued. Your efforts as COVID warriors :2>2*G'«17®'>Ŋ?4ƣƢ4>2KWĒ,1GŊ,HŊ½K9%>½;H are truly praiseworthy and commendable. With the economy struggling due to the spread of coronavirus, ?:0|0:0 GÎK %(G*GŊ?4Ƥ4>2KWĒ,1G>,HŊ/@8>?04 nearly all sectors face uncertainty and pessimism over business ;HƟ;0>2>.0:0 GÎK4/ēƟƪƝƤƥƦ2KW> %0B224@ conditions. Government announced a Rs 21 lakh crore ,?Ú0|;HƟ:>';@Ɲ ::!:G?*,!*G0|0((2*GŊ?4:/@,>Î )>2&>Ĝ package for the economy which included a package of Rs 3 lakh crore for onward lending to MSME sector. Our Bank has ½?)®'*7?)K.X>?(1>1>;HƟ been in the forefront by sanctioning about Rs 9,345 crore to :@,CĈ/B?00|.*G:0>0G?4& > Ŋē,0|?779ƣơƣơ½L'@ MSME sector. Also, the moratorium has been extended to all ?&0>;@0|ĒƟƦơƨ2KW>8A÷4>/2,B2G?779ƣơƣơŊ(L2>*ēƟƦƥƧ the eligible borrowers to help them tide through the crisis. 2KW>8A÷4>/(?1>;HƟ:0>0G?4& > Ŋē,0|,*G,¦2>4*Ŋ It is in this backdrop that the Bank, as an amalgamated entity, UHSRUWHGQHWSURÀWRI5VFURUHIRU4)<DQG5VFURUH ,;4G790|;@8A÷4>/(2*GŊ:>'dž:>'.*G,*@>:>0>2>?81Ĝ0| IRUIXOO\HDU)<%HVLGHVUHSRUWLQJQHWSURÀWLQWKHÀUVW\HDU .$K&2@24>&Ð.)*0|Ř84&>/@?(> ;HƟƤƢ0>ƝƣơƢƪŊƤƨƟƣƧƖ of its operations as an amalgamated entity, the Bank also :GƢƩƣ)>2.X2ƤƢ0>ƝƣơƣơK>:>*A,>&ƤƪƟơƨƖ;K1> VDZWUDFWLRQLQLWV&$6$GHSRVLWVDQGHIÀFLHQF\LQPDQDJLQJ FRVWV7KH&$6$UDWLRLQFUHDVHGE\ESVIURPDVRI 2:0>0G?4& > >4>&dž1*A,>&?779ƣơƢƪŊƦƣƟơƢƖ:G 0DUFKWRDVRI0DUFKDQGWKHFRVWWR !2?779ƣơƣơ0|ƥƨƟƩƧƖ;K1>Ɵ income ratio of the combined entity fell from 52.01% in FY 2019 §®'2,¦2>4*ĞŊ>2%?779ƣơ0|,¦2>4*4>/ƢƪƖ.X2ēƟ WRLQ)< 7KHRSHUDWLQJSURÀWLQFUHDVHGE\LQ)<WR5VFURUH ƢƪƝƧƪƢ2KW2;>;HƝK?779Ƣƪ0|ƢƧƝƦƥƦ2KWĒ,1G'>Ɵ.Ŋ!ŧG2@ from Rs 16,545 crore in FY19 driven by stable operating expenses. ,¦2>4**G4>/Ð(&>0|.W>1K(>*?1>;HƟ79Ŋ(L2>*.½§®&A%7> %DQN·VWUHDVXU\DGGHGWRSURÀWVZLWKDODUJHFRQWULEXWLRQ7KH 0|:A)>2Ĩ;HƟ?77G,B% ,>1Ŋē,0|.*G,*GÐ>7)>*72G*A,>& asset quality of the Bank improved in the year. The Bank, as a 0|7C?÷>2@2@;HK.ƩƢƟƤƖ;HƟ@*,@*A,>&0>ƣơƢƪŊƢơƟơƣƖ prudent measure continued to increase its provision coverage ratio which now stands at 81.3%. The GNPA ratio fell to 9.40% :G?220>ƣơƣơ0|ƪƟƥơƖ;K1>;H2 :@7?)0|**,@ƤƟƧƦƖ as of March 2020 as against 10.02% as of March 2019 and the :G?22ƤƟƢƤƖ;K1>;HƟ NNPA fell to 3.13% from 3.65% over the same period. :>';@Ɲ.Ŋ?41;:A?*?ă&2*>/@?*7>1;H?7;:/@A*L?&1ĜŊ Going ahead, it is imperative for the Bank to ensure that it provides the banking services seamlessly irrespective of the .>7B(/@.?Œ:G7>ĜK?*.>)ē,:GÐ(>*2*>>2@2GƟ?#?!4@2%½ challenges it faces. The strategy to be pursued is to expedite Ð?É1>K&G2*G½>1*@?&.*> >*@>?;Ɵ1?((G1&>Ĝ½.>&2|&K the process of digitisation. On the liabilities side, there is greater ;0>2G?#?!4.?ŒH*4Ĝ1>*@0K.> 4.?Œ,2 !2*G!.?Œ½«1>, acceptability of our digital banking channels, that is, the mobile banking app and internet banking. Our Mobile banking ®7@>1&>;HƟ;0>2G0K.> 4.?Œ,K(G8Ŋ:/@.WG.Ĝ0|8@9Ƥ,0|:G App is rated as one of the top 3 apps amongst all large banks 0>*>>&>;HƟ.&.>&>)>2ĜŊ>&GÐ0Aē,:G!H..?ŒÐ?É1>Ŋ in the country. The account opening process for savings bank 0>10:GK4G>2;G;K;0>2GË>;ĜŊ?4:>*2:A?7)>*;H2 account holders is done majorly through Tab banking which ::G!*2> #:01ƙ!H!ƚ/@0;K&>;HƟ;0*G,*G>4B>&>Ë>;ĜK/@ enhances the ease and convenience for our customers and reduces the turnaround time (TAT). We have extended this 1;:A?7)> ,4¢)2>1@;27H G/@ :7H§¨,H*4:G4>/>§7&;K2;G;Ɵ facility to our current account customers also and they are also ;0*G,*G )>2&>Ë>;ĜŊ?4?#?!4 %?7/>½®'>,*>½;HK EHQHÀWWLQJIURPWKLVFKDQQHO)RURXUDVVHWFXVWRPHUVZHKDYH ¦2!G420:0 )>2&>ĜK2.G;&2:A?7)>Ð(>*2G>Ɵ VHW XS D 'LJLWDO /HQGLQJ 'HSDUWPHQW ZKLFK ZLOO VLJQLÀFDQWO\ increase convenience for Retail and MSME borrowers. &¦2ē,:GƝ>2?;&>1,÷?&K,*>*GŊ:>';0>2@?#?!4@2% Internally, the digitisation process has gathered momentum ½Ð?É1>K?&?04@;HƟ*A0K(*2&2dž?7/>,Î>>2½Ð?É1>&G@:G ZLWKDGRSWLRQRISDSHUOHVVRIÀFH7KHSURFHVVRIDSSURYDODQG ?#?!4@ŝ&;K2;@;HƟ:>';@Ɲ.H"ŌƝ>17!*Ɲ>1½:0@>H:@?*1?0& inter department communications are increasingly digital. Also, the routine activities in the form of meetings, work allocation, ?&?7?)1>?#?!4ē,0|:>?4&½>2;@;Ɵ ::G;0>2>,¦2>4*2 review of work are being conducted in digital mode. This would 1>(>:AđX;K>2;0.W@0>ō!?;®:G(>2@A!>*GŊ?4&H1>2;ĜG1Ĝ?;0 ensure sustainability of our operations and prepare us to gain .G;&2Ë>;*A/7Ð(>*2*G0|:0;ƟGÎĜ½.>&2|&Kŝ?920:0 higher market share as we are able to deliver better customer GÎĜ0|Ř?&?(*G½ ¤0@(;H?:>;0|?):G?)->1(> ">*> experience. Among the sectors, agriculture and MSME sectors are expected to show some traction which we should utilise ;K>Ɵ'«17®'>0|0(@Ŋ>2%A(2>GÎ,2Ð?&ř4Ð/>7,W*G½:/>7*>;HƟ to the extent possible. Retail segment may be impacted 0 :7:2,2?"*:010|,½W@0G;*&2Ð1>:ĜŊ?4,K adversely due to the slowdown in the economy. )17>((G&>ĩƟ I take this opportunity once again to thank one and all for your hard work and efforts during these testing times. 8A/>0*>Ĝ:?;&Ɲ With best wishes ƙ:@7ð>ƚ (Sanjiv Chadha) January - March 2020 3 :,>(0#4Editorial Board >1>2@:,>(ƠǍǻǨǦǸǷǬǹǨǍǧǬǷDzǵ :0| ŊƟ>2Ɵ*>G?1>ƠǓƟǚƟǓǤDZDzǭǬǤ Contents ?791ƿ7®&AÐ.)*!@0 NjDzDZǷǨDZǷǕǤDZǤǪǨǰǨDZǷǜǨǤǰ *72@dž0>ȉǒǤDZǸǤǵǼdžǕǤǵǦǫƣơƣơ >GƟŊƟ>H4ǗƟǓƟǓǤǸǯ ơƤ Ð.)?*( 87G 0 1>1A ,>4¦)>2@>: ( 8G :1Ř0>2ǛǤDZǭǤǼǓǸǰǤǵ ơƦ >1>2@:,>(½40:G 2>)>>&0>'A2ǚǤǧǫǤǮǤDZǷǕǤǷǫǸǵ ơƧ NjǨǯǨǥǵǤǷǬDzDZǶDzǩǑDZǷǨǵDZǤǷǬDzDZǤǯǟDzǰǨDZǂǶnjǤǼ ŊƟ.@ƟA &>ǓƟNJƟǏǸdzǷǤ ơƩ .@:@džƣơƢƧ>*,@7:B4@0G1K(>* ŊƟ@Ɵ>G14ǓƟǏƟǏDzǼǤǯ ƢƢ ǍǰdzǯDzǼǨǨǶǂǍDZǪǤǪǨǰǨDZǷǬDZǤDZ :0@2*>2ǛǤǰǨǨǵǖǤǵǤDZǪ ǗǵǪǤDZǬǽǤǷǬDzDZ 8H4GÏ?:; ǛǫǤǬǯǨDZǧǵǤǛǬDZǪǫ Ƣƣ ǞǬǵǷǸǤǯNjǸǵǵǨDZǦǼƗǑDZǷǨǵDZǤǷǬDzDZǤǯǜǵǤǧǨ Ƣƪ ljǜǨǵǰǑDZǶǸǵǤDZǦǨǬǶDZDzǷǭǸǶǷdzǵǤǦǷǬǦǤǯƝǑǷǂǶ :,>(/EǧǬǷDzǵ dzǵǤǦǷǬǦǤǯǯǼǤǯǬǩǨǯǬDZǨƒ ƣơ />2&KƦ?!ŧ?41*#I42½'«17®'>.*>*G0| ,A*@&Ř0>2?0ǘǸDZǬǷǓǸǰǤǵǕǬǶǫǵǤ :>7?*GÎŊ.Ĝ½/B?0> ƣƣ ǑDZǷǨǵǹǬǨǺdžǛǫǵǬǗƟǓƟǓǤǸǯƝ :;>1:,>(ƠljǶǶǬǶǷǤDZǷǍǧǬǷDzǵ ǏǨDZǨǵǤǯǕǤDZǤǪǨǵdžNjNjƙǚǨǷǧƟƚ 0;@,>4>H;>*ǕǤǫǬdzǤǯNjǫǤǸǫǤDZ ƣƥ A(2> %0|*A,>4* Ƥơ Ǒǖljǡljǜ Ƥƣ />2&@1.ĜŊ2>ćŧ@12%Ŋ,>:79н1>Î>dž :;1>GƠljǶǶDzǦǬǤǷǨ 0B¨1>* ?.É0?:; NJǬǮǵǤǰǛǬDZǪǫ ƤƧ ?;(@7/>2&@1:®ŝ?&>7H§¬7®7ē, ƤƩ NJǵǤDZǧǐǼǪǬǨDZǨdžǍǹǨǵǼǥDzǧǼǂǶǚǨǶdzDzDZǶǬǥǬǯǬǷǼ 4:7>((>&>ƿǢDzDZǤǯNjDzǵǵǨǶdzDzDZǧǨDZǷǶ ƥƣ />2&@1'«17®'>½@7*2G>.?Œ üK½ ;0(>.>( ljǫǰǨǧǤǥǤǧ 7(*>H* 0>HB(>A*>H?&1> .WL(> NJǤǵDzǧǤ 02:>7 ƥƥ ǐDzǺǜDzǕǤDZǤǪǨǟDzǵǮǛǷǵǨǶǶǍǩǩǨǦǷǬǹǨǯǼư .|4Aē NJǨDZǪǤǯǸǵǸ ,0:A)>:@: ƥƧ %§®&1Ĝ½A%7>>Ð.)*:01½ /K,>4 NJǫDzdzǤǯ:K0GÏ1>(7 W@X NjǫǤDZǧǬǪǤǵǫ#>EƟ®7>&@">Ř2 7¬1&> GþH NjǫǨDZDZǤǬ >H2@7@0 ƦƢ ?8>½ W>* %>Ř40 ǍǵDZǤǮǸǯǤǰ *@*>(G7®:@0 Ʀƥ 4::>)*Ð.