Bank of Baroda , one of India's leading public sector banks, has significantly expanded its digital payment offerings by introducing three new international features to its UPI app, bob e-Pay. This move marks a major step towards facilitating cross-border transactions and enhancing the bank's global presence in the digital payments space.

Global QR Code Payments

The newly launched UPI Global Acceptance service allows Bank of Baroda customers to make QR code payments in eight countries, including the United Arab Emirates, United States, Singapore, and France. This feature provides users with the convenience of seeing transaction amounts displayed in both local and Indian currencies, making international purchases more transparent and user-friendly.

Real-Time Remittances from Singapore

In a move that could benefit the large Indian diaspora in Singapore, Bank of Baroda has introduced a Foreign Inward Remittance feature. This service enables real-time money transfers from Singapore residents to Bank of Baroda customers in India. The app automatically converts Singapore Dollars to Indian Rupees, streamlining the remittance process.

NRI Account Linking

The bank has also extended its services to Non-Resident Indian (NRI) customers. NRIs can now link their NRE (Non-Resident External) or NRO (Non-Resident Ordinary) accounts to the bob e-Pay app. This feature allows them to send and receive money using their domestic mobile numbers, bridging the gap between international banking and local convenience.

Transaction Limits and User Base

To ensure security and compliance with regulatory norms, Bank of Baroda has set daily and per-transaction limits of ₹1 lakh for all international transactions conducted through the bob e-Pay app. This prudent measure balances convenience with risk management.

The bob e-Pay app, which serves over 1.3 million registered users, is now available to both Bank of Baroda customers and non-customers. This wide accessibility underscores the bank's commitment to financial inclusion and digital banking solutions.

Recent MCLR Revision

In a separate development, Bank of Baroda has also revised its Marginal Cost of Funds Based Lending Rate (MCLR). The revision sees a reduction in MCLR across various tenors, potentially benefiting borrowers:

This rate cut could lead to lower interest rates on loans linked to MCLR, providing some relief to borrowers in the current economic climate.

Bank of Baroda's latest moves in expanding its digital payment services internationally and adjusting its lending rates demonstrate the bank's adaptability to changing market conditions and its focus on enhancing customer experience in both domestic and global markets.

Bank of Baroda , one of India's leading public sector banks, has reaffirmed its credit growth guidance of 11-13% for FY26, despite facing some challenges in the first quarter. The bank's strategic focus on retail and MSME segments is expected to drive this growth.

Q1 Performance Highlights

Bank of Baroda reported a modest 1.9% increase in net profit, reaching Rs 4,541.00 crore for Q1FY26. However, the bank experienced a slight decline in Net Interest Income (NII), which decreased by 1.4% to Rs 11,435.00 crore.

Credit Growth and Segment Performance

The bank achieved an overall advances growth of 12.6% year-on-year in Q1, primarily driven by the Retail, Agriculture, and MSME (RAM) segment, which saw a robust 18% rise. However, corporate lending growth slowed to 2.5% due to seasonal factors. Despite this, management remains optimistic, expecting around 10% growth in the corporate segment for the full year.

Asset Quality Improvements

Bank of Baroda demonstrated significant improvements in asset quality:

• Gross Non-Performing Asset (GNPA) ratio improved to 2.28% from 2.88% year-on-year
• Net Non-Performing Asset (NNPA) ratio decreased to 0.60% from 0.69%

Challenges and Risk Management

Q1 saw an increase in slippages by Rs 500.00 crore above the typical quarterly run rate of Rs 2,800.00-2,900.00 crore. This increase was primarily attributed to one international account entering the resolution process. Excluding this account:

• Slippage ratio stood at 0.99%
• Credit cost was contained at 0.47%

Financial Performance Analysis

Comparing Q1FY26 with the previous quarter (Q4FY25), we observe:

Despite the slight decline in quarterly performance, Bank of Baroda's year-on-year growth remains positive, with revenue increasing by 11.37% compared to Q1FY25.

Outlook

Bank of Baroda's maintained credit growth guidance of 11-13% for FY26 reflects the management's confidence in the bank's ability to navigate current market conditions. The focus on retail and MSME segments is expected to be a key driver of this growth, offsetting the temporary slowdown in corporate lending.

As the bank continues to improve its asset quality and manage risks effectively, it remains well-positioned to capitalize on the growing credit demand in the Indian market, particularly in the retail and MSME sectors.