Bank of Baroda now a key player in banking sector as third largest lender

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From April onwards, state-run Bank of Baroda is set to play a larger role in the Banking sector with the merger of Dena Bank and Vijaya Bank with itself from March 31.The Reserve Bank had on March 30 said branches of Dena Bank and Vijaya Bank would function as BoB outlets from April following the amalgamation. After the merger it has become the third largest bank in the country after State Bank of India and HDFC Bank.

After the amalgamation, BoB will have over 9,500 branches, 13,400 ATMs, 85,000 employees to serve 12 crore customers. The bank will have a business mix of Rs 15 lakh crore of balance sheet, with deposits and advances of Rs 8.75 lakh crore and Rs 6.25 lakh crore, respectively.

Post-amalgamation BoB will have a 22 percent market share in Gujarat and 8-10 percent market share in Maharashtra, Karnataka, Rajasthan and Uttar Pradesh. This is second merger of state-run banks in the recent years in the banking sector after State Bank had merged five of its associate banks- State Bank of Patiala, State Bank of Bikaner and Jaipur, State Bank of Mysore, State Bank of Travancore and State Bank of Hyderabad and also Bhartiya Mahila effective April 2017.

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