Kotak Mahindra Bank reports 12% growth in deposits

Mumbai: Bucking the industry trend, private lender Kotak Mahindra Bank on Monday reported 11.7 per cent growth in its deposits to Rs 2,58,500 crore for the quarter ended March 31.

The lender along with bigger rival HDFC Bank are among a few players in the industry to have registered a growth in their deposits. Smaller rivals such as IndusInd Bank and RBL Bank have seen a fall in deposits due to erosion of trust after the YES Bank crisis.

Kotak Mahindra Bank’s current account deposits grew 16.9 per cent from the previous quarter to Rs 43,000 crore, while its savings account deposits swelled 14 per cent to Rs 1,04.600 crore, the lender said in an exchange filing on Monday. The bank’s CASA (current account to savings account) ratio stood at 56.2 per cent.

On April 3, HDFC Bank also said its deposits grew by 7.4 percent from a quarter before to Rs 11.46 lakh crore at the end of the March quarter.

Due to the crisis at YES Bank, which led to the Reserve Bank of India imposing a temporary moratorium on withdrawals, the depositors’ confidence in a section of private banks has dwindled. The loss of these smaller players has been a gain for certain larger players.