Bank of baroda

Particulars
(Rs. in Millions)
1.
Tier I Capital (Eligible element)
39,542.30
2.
Tier II Capital (Eligible element)
21,222.80
3.
Total Capital Funds
60,765.10
4.
Single Borrower Exposure Limit
15% of the total capital funds for AAA, AA & A as per new rating model and
A+ & A as per old rating model.
9,114.80
5.
Single Borrower Exposure Limit
12.5% of the total capital funds for BBB as per new rating model and
B+ as per old rating model.
7,595.60
6.
Single Borrower Exposure Limit
10% of the total capital funds for below BBB as per new rating model and
below B+ as per old rating model.
6,076.50
7.
Single Borrower Exposure Limit in case of Infrastructure advances
(20% of the total capital funds)
12,153.00
8.
Group Borrower Exposure Limit
(40% of the total capital funds)
24,306.00
9.
Substantial Exposure
(600% of the total capital funds)
364,590.60

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68
BANK OF BARODA
As per RBI’s guidelines, the credit exposure ceiling is fixed in relation to our capital funds under capital adequacy
standards (Tier I and Tier II capital). The credit exposure ceiling limits applicable from April 1, 2002 is 15% of capital
funds in case of single borrower and 40% in the case of a group borrower. Exposure to a single borrower may exceed
the exposure limit of 15% of our capital funds by an additional 5% (i.e., up to 20%), provided that the additional credit
exposure is on account of infrastructure projects. Similarly, exposure to borrowers belonging to a group may exceed the
exposure limit of 40% of our capital funds by an additional 10% (i.e., up to 50%), provided that the additional exposure
is on account of the extension of credit to infrastructure projects.
As per RBI’s revised guidelines, in exceptional cases, with the approval of the Board, we may consider enhancement of
the exposure to a borrower up to a further 5% of capital funds (i.e., up to 20% of the capital funds for a single borrower
(up to 25% for infrastructure projects) and up to 45% of capital funds for group borrowers (up to 55% for infrastructure
projects) subject to making appropriate disclosures in the Notes to accounts of our annual financial statements, with prior
written consent from the borrower.
Within the framework of the above regulatory framework, we have introduced a risk based single borrower exposure that
is linked to the credit rating of the borrower.
The following risk based exposure ceilings have been fixed: