Bank of Baroda may raise up to $1 billion via senior unsecured notes issuance

Bank of Baroda (BoB) may raise up to $1 billion via senior unsecured notes issuance, with CareEdge Global Ratings assigning a BBB+/Stable long-term foreign currency rating to the notes.The plan to raise resources via the senior unsecured notes may be to provide leverage to its Non-Resident Indians (NRIs) customers wanting to place fresh foreign currency non-resident (bank) deposit with the bank at higher interest rates.CareEdge Global has also reaffirmed BoB’s long-term foreign currency issuer rating and $4 billion global mediumterm notes (GMTN) programme at CareEdge BBB+/Stable.The rating agency noted that BoB benefits from majority ownership by the Government of India (GoI; rated CareEdge BBB+/Stable ‘unsolicited’), which holds a 64 per cent stake in the bank as of March 31, 2026.The bank’s systemic importance as the second-largest public sector bank (PSB) with a 5.5 per cent share in domestic advances, high socio-political relevance, coupled with contagion risk and strong public perception, underscores the likelihood of strong, extraordinary sovereign support if required.BBB rating denotes a moderate degree of safety regarding servicing of debt obligations with moderate credit risk.The stable outlook for BoB, in line with the sovereign of India, reflects CareEdge Global’s expectation of continued support from the GoI and the bank’s ongoing strategic importance within the PSB framework. The rating outlook on BoB will move in tandem with CareEdge Global’s outlook on India’s sovereign rating.Published on June 29, 2026