Bank of Baroda surged to its highest level after government announced reforms

Bank of Baroda, a PSU lender, surged to its highest level in 8 months after the government announced a series of top level changes in the sector in a bid to inject more professionalism and improve the overall functioning of such banks.

BoB, 58 percent controlled by the government, will now be headed by P S Jayakumar, formerly working for VBHC Value Homes. The bank will now have a non-Executive Chairman as well, the post being given to Ravi Venkatesan, an independent director on the board of software giant Infosys and the former head of Microsoft's global operations in India.

The developments enthused traders and investors alike.

As a consequence Bank of Baroda surged 20.65 rupees, or 11.1 percent, to 205.95 rupees on the NSE where it was the top traded counter with 408 crore rupees worth of shares changing hands.

Bank of Baroda also lead the gainers list on the F&O space with Open Interest rising 7.1 percent in early deals on the NSE. A build up of long positions was seen on the counter.

(Image credits: Indiatimes)