Bank of Baroda is reportedly aiming for nearly 10% growth in its corporate loan portfolio in FY27, as per PTI reports. The bank’s corporate book currently stands at about ₹4.56 lakh crore, while proposals worth around ₹50,000 crore are in different stages of approval and disbursal.
Managing Director and Chief Executive Debadatta Chand said, "Our overall pipeline is Rs 50,000 crore at present. Half of it is sanctioned and yet to be disbursed while the remaining is loan proposals under discussions."
The bank said fresh demand for large loans is coming mainly from renewable energy projects and sectors such as steel and cement. These proposals are linked to expansion plans and capacity addition by companies.
According to the bank, term loans account for nearly two-thirds of the current pipeline, while the rest relates to working capital requirements.
The higher share of term loans points to continued investment-linked borrowing activity despite concerns around slower private sector capital expenditure.
Bank of Baroda said it expects net interest margins to remain in the 2.75% to 2.95% range. To support margins, the bank plans to increase the share of corporate loans linked to external benchmark-based lending rates.
The lender also said higher government bond yields may help improve spreads on advances. At the same time, it expects pressure on deposit costs to continue in the current rate environment.
The bank said it will continue raising funds through sources other than deposits as part of its liability management strategy. It added that the present funding base remains adequate for growth requirements.
The bank said it remains comfortable maintaining its credit-deposit ratio in the range of 81% to 83%, which is higher than some other state-owned lenders.
On asset quality, the lender said there are no immediate concerns in its micro, small, and medium enterprises portfolio. It also said the Emergency Credit Line Guarantee Scheme has provided support to eligible borrowers.
The bank added that any fresh lending to the telecom sector would depend on policy measures and coordination among lenders and stakeholders.
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As of May 12, 2026, 11:47 am, Bank of Baroda Ltd share price was trading at ₹264.25, down 0.66% from the previous closing price.
The lender is focusing on corporate loan growth, margin management and stable asset quality as it processes proposals worth ₹50,000 crore.
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Published on: May 12, 2026, 1:38 PM IST
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