The Reserve Bank of India, which turned down the request for a three-year extension for Sumant Kathpalia, chief executive of Indusind Bank, has only extended his tenure for another year.
Kathpalia’s previous re-appointment in 2023 was for two years, instead of the three year term the bank had requested. Accordingly, the bank said on Friday, he will continue to hold the job till March, 2026.
"The Reserve Bank of India approved the re-appointment on March 6, effective March 24 and till March 23, 2026," the bank added.
Kathpalia, who has been with Indusind for 17 years now, has played a key role in shaping its business strategy, financial management, investor relations, and digitisation efforts. He was first appointed as chief executive in March 2020.
The Indusind stock declined 3.6% on the BSE to Rs 936.80, while other banking stocks had only marginal decline. The stock has been under pressure for long and has falling for the past three sessions on the trot.