BANK OF BARODA EYES GLOBAL EXPANSION

According to Mr. M.D. Mallya, Chairman and Managing Director, Bank of Baroda (BoB) expects to operationalise its New Zealand subsidiary as well as its Malaysian joint venture company in January next year as part of its global expansion plans.

Plans are afoot to open as many as eight-to-nine branches abroad in the next six months, taking the total number of international offices to 90 by end March 2011 from the current level of 81.

Africa, Gulf regions

Primarily these branches will be located in the African sub-continent, he said, adding that there could be couple of branches in the Gulf region.

Mr Mallya also said that BoB's foray into New Zealand will be through a wholly-owned subsidiary and that all regulatory approvals have been received from both the sides. As regards the Malaysian venture — India International Bank (Malaysia) Bhd — Mr Mallya said that most regulatory approvals are in place and that it should take off from January next year.

BoB has 40 per cent stake in the Malaysian joint venture company with Indian Overseas Bank (IOB) and Andhra Bank being the other equity partners.

400 domestic branches

BoB has licences to open 400 branches in the country during 2010-11, of which 125 braches have already been opened till date.

On how the global financial crisis of 2008 had impacted the bank, Mr Mallya said that the crisis had helped BoB and that its international business operations had grown in the last two years.

SOURCE: http://www.thehindubusinessline.com/2010/11/16/stories/2010111650870600.htm