Bank of Baroda — Credit Ratings, 08-11-2024: Credit Rating

India Ratings has affirmed the long-term issuer rating of Bank of Baroda (BOB) at "IND AAA/Stable." The bank's Basel III Tier 2 bonds also received the same rating. Key strengths include BOB's systemic importance, strong capitalization, and liquidity. However, a decline in low-cost deposits and increased competition pose challenges. BOB's asset quality remains robust, with improving operational metrics, paving the way for targeted credit growth of 11%-12% in FY25.