Bank of Baroda warns of shrinking margins this fiscal and pivots to treasury wealth and fees

Primary dealership push could reshape its debt markets play

Bank of Baroda expects net interest margins to come under pressure this fiscal as deposit rates stay sticky and lending rates are less able to rise. To protect profitability, it plans to grow fee income and explore a new primary dealership business to expand debt capital market activity. The bank is also working to strengthen key subsidiaries like BoB Cards and Nainital Bank.