After a good ride, tide turns for low-cost CASA in September quarter

The share of CASA saw a slight rise to 56.27 per cent in September 2022 from 56.08 per cent in June 2022 and 53.91 per cent a year ago

The phase of pulling in money into low-cost deposits -- current accounts and savings accounts (CASA) -- with ease is over for banks due to a turn in the interest rate cycle. For many the share of CASA in deposits either remained static or shrank in the quarter ended September 2022.

HDFC Bank, the largest bank in the private sector, saw its share of CASA deposits (as part of its total deposits) shrinking to 45.4 per cent in September 2022 from 45.8 per cent in June 2022 and 46.8 per cent a year ago.

Union Bank of India, a large