Bank of Baroda and Bank of India miss FY25 deposit growth guidance

State-owned lenders Bank of Baroda and Bank of India lagged deposit growth guidance for financial year 2025 (FY25), which stayed below their credit growth for the financial year.

 

Bank of India, which clocked 11.21 per cent year-on-year (Y-o-Y) growth in domestic deposits to Rs 7 trillion as on March 31, 2025, fell short of the guidance of around 13–14 per cent. The domestic credit growth of the bank stood at 14.28 per cent Y-o-Y at Rs 5.63 trillion.

 

Another public sector lender, Bank of Baroda, recorded 9.28 per cent Y-o-Y growth in domestic deposits to Rs 12.42 trillion at the end of March 31, 2025, while credit growth was 13.70 per cent Y-o-Y to Rs 10.21 trillion.

 

The lender had projected 11 per cent growth in deposits and 13 per cent growth in advances.

 

Private sector lender IDFC First Bank posted 25.20 per cent Y-o-Y growth in deposits to Rs 1.94 trillion. The low-cost current account savings account (CASA) of the bank rose by 24.8 per cent Y-o-Y to Rs 94,768 crore. The CASA ratio was stable at 46.9 per cent as of March 31, 2025, compared to 47.2 per cent as on March 31, 2024.

 

Advances of the bank grew by 20.3 per cent Y-o-Y to Rs 2 trillion. The credit-deposit (CD) ratio stood at 93.8 per cent as compared to 98.4 per cent as of March 31, 2024.

 

“The bank has been bringing down the credit-deposit ratio continuously since the merger between IDFC Bank and Capital First in December 2018, by retiring legacy (pre-merger) bonds and borrowings and by scaling retail customer deposits,” IDFC First Bank said.

 

Another private sector lender, RBL Bank’s total deposits rose by 7 per cent Y-o-Y to Rs 1.10 trillion, with 4 per cent Y-o-Y rise in CASA deposits to Rs 37,884 crore. The CASA ratio was at 34.1 per cent as of March 31, 2025, as against 35.2 per cent in the same period last year.

 

The advances of the private sector bank rose by 11 per cent Y-o-Y to Rs 94,973 crore, out of which, retail advances grew 15 per cent Y-o-Y, while wholesale advances grew 5 per cent Y-o-Y for the quarter ended March 31, 2025. Within retail, secured retail advances grew 41 per cent Y-o-Y. The mix of the lender in retail and wholesale advances was nearly 61:39.

 

IDBI Bank’s deposits grew by 12 per cent Y-o-Y to Rs 3.10 trillion. The net advances of the lender grew by 16 per cent Y-o-Y to Rs 2.18 trillion.

 

AU SFB’s total deposits expanded by 27.2 per cent Y-o-Y to Rs 1.24 trillion as of March 31, 2025, as against Rs 97,704 crore of the merged entity last year. On April 1, 2024, Fincare SFB was merged with AU SFB. The advances rose by 25.8 per cent Y-o-Y to Rs 1.09 trillion.