Indian state-owned lender Bank of Baroda is planning to sell its subsidiaries in Ghana and Trinidad and Tobago, according to reports.
The move is part of the bank’s strategy to consolidate and rationalise its international operations, two unnamed bankers aware of the developments told the publication.
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Both these subsidiaries, Bank of Baroda (Ghana) and Bank of Baroda (Trinidad and Tobago), have a combined business of less than Rs10bn ($142.67m) with three operating branches each.
According to the report, Bank of Baroda has already forwarded request for proposal (RFP) to its empanelled investment bankers.
The report comes a day after it was reported that several Indian public sector banks intends to shut down nearly 70 foreign branches during this fiscal year.
One of the bankers told Livemint.com that both the subsidiaries are not part of the bank’s core business and are not performing as per the expectations.
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By GlobalDataEarlier this year, Bank of Baroda closed its South African operations as well as its branches in Bahrain and Nasau.
Currently, the bank is also in process of closing its operations in Bahamas.
The rationalisation of the foreign branches of state-run lenders forms a part of the government’s plan to consolidate operations of public sectors banks which are troubled by rising levels of non-performing assets and low profitability.
