Credit rating agency, ICRA has assigned the AAA (hybrid) rating with stable outlook to the Tier II Bonds Programme of Bank of Baroda (BoB). The word ‘hybrid’ in the rating indicates that the rated instrument is a hybrid subordinated instrument with equity-like loss-absorption features; such features may translate into higher levels of rating transition and loss-severity vis-à-vis conventional debt instruments.
BoB is among the top five banks in India, with total assets of Rs.5.5 trillion as on March 31, 2013. The bank had a domestic network of 4289 branches, with around 61 per cent of its branches in the semi-urban and rural areas, as of June 30, 2013.
