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Context is everything.
Detailed stories on technology startups, business and economic current affairs.
Detailed stories on technology startups, business and economic current affairs.
Given just a two-year extension by the RBI, instead of the three years sought, he is expected to get cracking on festering issues that continue to dog the lender.
If share price and loan growth are the yardstick of success, Sumant Kathpalia should be a relaxed occupant of the corner office. In his three years as the CEO of IndusInd Bank, the bank’s stock has seen a near 300% rise and its loan book has outperformed the industry.
Yet, he isn’t. And that’s because the Reserve Bank of India is keeping Kathpalia on his toes. The regulator, after sitting on the bank’s request for a three-year extension for him for five months, finally granted him one of two years, in March 2023.
While IndusInd Bank, in its response to …
The central bank’s shift to a 100% collateral requirement threatens to erode leverage, reduce volumes and force a consolidation across prop desks.
High returns, RBI-regulated comfort, and easy withdrawals drew investors in. Now, with repayments drying up, the fintech platform, its NBFC partner, and the regulator are pointing fingers—leaving customers to chase their own money.
The RBI’s unusually harsh order raises deeper questions about management credibility—and whether investors should take assurances at face value.
