Bank of Baroda, one of India’s leading public sector banks, on Tuesday, 11th October, announced that it has opened 4 mid-corporate cluster offices, spread across 4 zones- in Mumbai, New Delhi, Chennai, and Kolkata. In line with the bank’s strategy to sharpen its focus on this segment, each mid-corporate cluster office will oversee a set of specialised branches in each zone, catering exclusively to mid-sized corporates.
In a strategic move, the bank recently reorganised its corporate banking model. The corporate banking vertical has been divided into two units, large corporates and mid-corporates, to effectively serve both customer segments. The mid-corporate vertical caters to companies seeking credit facilities of up to Rs. 250 crores, while the large corporate vertical handles business above that.
Debadatta Chand, Executive Director, Bank of Baroda said, “As economic activity picks up along with an acceleration in credit growth, we believe that the mid-corporate segment is where a significant opportunity lies. There is an increase in demand for credit by mid-sized companies; at the same time, this segment is largely untapped. Our focus is on building a quality mid-corporate loan book in a calibrated and sustainable manner. The aim is to grow our mid-corporate portfolio in double digits in financial year 2023”.
The bank will strengthen its operating model and branch network to tap mid-sized corporates and plans to open dedicated branches across the country. These branches will provide a comprehensive range of solutions and will ensure a faster turnaround time in the credit decision making process. The bank is also in the process of hiring over 300 specialised Relationship Managers (RMs) and Credit Analysts to serve its customers.