Banking

Yes Bank reported an 18.3% year-on-year increase in net profit for the second quarter of FY2024–25, reaching Rs. 654 crore, driven by robust growth in retail and SME lending, improved asset quality, and disciplined cost management. The private sector lender’s net interest income (NII) and fee-based income strengthened, reflecting increased customer engagement and expanded loan portfolios. Proactive provisioning and a focus on digital banking initiatives supported operational efficiency.

HDFC Bank, India’s largest private-sector lender, reported a 10% year-on-year rise in consolidated net profit to Rs. 19,610 crore for the second quarter of FY2024–25, reflecting sustained loan growth, stable asset quality, and efficient cost management. The bank’s performance was underpinned by robust retail lending, steady deposit accretion, and effective balance sheet management. Despite a competitive interest rate environment, HDFC Bank maintained its net interest margin (NIM) and continued to strengthen its digital and rural banking footprint.

Federal Bank reported a decline in its net profit for the second quarter of FY2024–25, weighed down by higher provisioning requirements and moderate loan growth. Despite steady operating income and healthy advances, increased provisioning for potential loan losses affected profitability. The Kerala-based private sector lender remains focused on maintaining asset quality amid a challenging credit environment.

Karur Vysya Bank (KVB), one of India’s oldest and most trusted private sector lenders, has achieved a landmark milestone by crossing Rs. 2 lakh crore in total business. The achievement reflects the bank’s strategic focus on digital transformation, prudent lending, and customer-centric growth. Over the past few years, KVB has consistently strengthened its balance sheet through disciplined risk management and technology-driven operations.

Kotak Mahindra Bank has announced a Rs 9 crore grant initiative to support startups and early-stage enterprises in India’s small towns and cities. The program aims to catalyze entrepreneurship outside major metropolitan hubs, providing financial assistance, mentorship, and ecosystem support to innovators with high-growth potential. By targeting Tier-2 and Tier-3 cities, the bank seeks to unlock untapped talent and foster regional economic development.

Bank of Maharashtra has recorded a 17% year-on-year growth in credit, reflecting robust lending activity across retail, corporate, and MSME segments. The increase underscores the bank’s focus on expanding credit penetration, enhancing asset quality, and supporting economic growth amid evolving market conditions. Analysts note that sustained credit growth signals healthy demand for loans, improving business sentiment, and investor confidence in public sector banking.

IDBI Bank Ltd. recorded a 15% year-on-year loan growth in the second quarter of FY26, signaling sustained credit expansion and healthy demand across retail and corporate segments. The growth underscores the bank’s ongoing transformation efforts and its focus on strengthening the loan book while maintaining asset quality. Backed by stable deposit inflows and prudent lending practices, IDBI Bank’s performance in Q2 highlights improving financial fundamentals and operational efficiency.

The Reserve Bank of India (RBI) has undertaken a significant overhaul of its regulatory framework governing foreign entities operating in India. The move aims to streamline compliance, enhance transparency, and align cross-border investment norms with evolving global standards. By rationalizing reporting requirements, clarifying thresholds for foreign ownership, and simplifying procedural obligations, the RBI seeks to improve ease of doing business for overseas investors while safeguarding domestic financial stability.

Union Bank of India and Central Bank of India have announced appointments for their new Managing Directors (MDs), marking a strategic shift in leadership for the two state-owned banks. These appointments come amid a focus on strengthening governance, enhancing operational efficiency, and accelerating growth in retail and corporate banking segments. The newly appointed MDs bring extensive experience in financial management, risk assessment, and strategic planning, signaling the banks’ commitment to robust leadership and sustainable growth.

The Reserve Bank of India (RBI) Deputy Governor emphasized the strategic role of shared technology platforms in driving operational efficiency and economies of scale across public sector banks (PSBs). Speaking at a financial services conference, the Deputy Governor noted that leveraging common infrastructure, digital solutions, and core banking systems enables PSBs to reduce costs, streamline processes, and enhance customer experience.