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20-Jul-2025

HDFC Bank

Loan growth to improve to system level in FY2026 and to be above system in FY2027


'HDFC Bank conducted a conference call on 19 July 2025 to discuss the financial results for the quarter ended June 2025. Sashidhar Jagdishan, MD&CEO of the bank addressed the call:

Highlights:

The bank expects the GDP growth for FY2026 to supported by pickup in improved performance of domestic factors, normal monsoons, income tax cuts, benign food inflation. The concerted policy impetus from the beginning of 2025 support sustainable growth.

The bank has continued grow average deposits at a healthy pace of 16% and continue to gain market share.

However, the bank has slowed down average advances growth to about 7% in FY2025, in alignment with strategic objectives to bring down the credit-deposit ratio from 110% at the time of merger to about 95%.

The advances growth or AUM growth has improved to 8% in Q1FY2026. The banks growth engine is well geared to grow and it expects loan growth to continue to improve ahead.

The bank remains confi...



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