An examination of the functional analysis of Bank of Baroda with a focus on financial parameters

Abstract

Banking involves safeguarding money on behalf of others. Banks lend this money, earning interest that contributes to profits for both the bank and its customers. A bank is a licensed financial institution that accepts deposits and extends loans. This study aims to assess the performance of Bank of Baroda over the past five years (2016-2021) using ratio analysis techniques. The analysis provides valuable insights into the financial strength of the bank in terms of Asset Quality, Management Efficiency, and Earning Ratios. Ratios are derived from a thorough examination of the bank's Balance Sheet and Profit and Loss Account. Bank of Baroda has demonstrated an improvement in its financial performance in recent quarters, evident through increasing net profits and enhanced asset quality. Profitability ratios, including return on assets and return on equity, have seen positive developments, indicating that the bank is generating more profit from its assets and equity