Rebuilding trust, regaining biz momentum key priorities for IndusInd Bank

Rebuilding trust with stakeholders and regaining business momentum while building a profitable business along with a balanced franchise are the priorities of the new IndusInd Bank management.

 

The private sector lender is also looking to enhance productivity through innovations in areas such as fintech.

 

“Rebuilding trust with stakeholders, regaining business momentum, building a profitable business and balanced franchise, and unlocking productivity through fintech innovations are some of the key areas of focus for the bank's management,” a highly placed source said.

 

Following the resignation of Sumant Kathpalia in April after lapses in accounting practices, the bank appointed a new managing director and chief executive officer (MD & CEO), Rajiv Anand, who assumed charge in late August. Anand was earlier the deputy managing director at Axis Bank, from where he superannuated.

 

During the July–September quarter, IndusInd Bank’s loan and deposit books declined on a year-on-year (Y-o-Y) basis. In Q2, the bank’s loan book fell 8 per cent Y-o-Y to ₹3.27 trillion, while deposits declined 5 per cent to ₹3.89 trillion. The bank’s loan and deposit books fell 2 per cent sequentially.

 

The bank recently appointed Viral Damania as its chief financial officer (CFO).

  In Q1, IndusInd Bank reported a 72 per cent Y-o-Y decline in net profit to ₹604 crore, due to higher provisions for retail loans and lower income from both core and non-core operations. The bank had reported a loss of ₹2,329 crore in Q4FY25 as it substantially ramped up provisions and reversed incorrectly booked revenue and income entries linked to accounting discrepancies in the derivatives and microfinance segments discovered in Q4.