HDFC Bank MD and CEO Sashidhar Jagdishan said that the bank proposes to nearly double its network of branches in the next three to five years by opening 1,500 to 2,000 branches every year.
SBI, IDBI Bank, HDFC Bank and Bank of Baroda have raised fixed deposit rates, days after the RBI raised the repo rate at which it lends to banks by 50 bps to 4.9%.
As per the new rate structure published on its website, HDFC Bank increased its Marginal Cost of funding based Lending Rate by 0.35 per cent from June 7.
Several customers of HDFC Bank noticed that their account balances shot up to as much as Rs 13 crore overnight on Sunday.
The BSE benchmark Sensex was trading 666.85 points lower at 57,244.83. The Nifty also declined 196.55 points to 17,196.05.
NSE Nifty fell 302 points, while BSE Sensex plunged 1,172 points on weaker Q4 earnings
The Nifty traded down 1.8% or 308 points at 17167 while Sensex was down 2%, or over 1000 points, at 57172 at 12 pm IST.
Net interest income, the difference between interest earned and interest expended, grew 10.2% to Rs 18,872.7 crore.
On the P&L front the pre-provisioning operating profit of the merged entity could potentially exceed that of the country’s largest bank.
Earlier this week, HDFC Bank agreed to take over its parent and the country's largest mortgage lender HDFC Ltd, as part of its strategy to fuel growth, especially in the affordable housing segment.
On Monday, shares of HDFC and HDFC Bank had witnessed heavy buying and settled with nearly 10 per cent gains post announcement of their proposed merger.
HDFC Bank was the top loser in the Sensex pack, followed by Bajaj Finserv, HDFC, Kotak Bank, IndusInd Bank, Bajaj Finance, and Reliance Industries.
The proposed transaction will reduce the Bank’s exposure to unsecured loans
HDFC shareholders will own 41% of the merged entity, making the structure relatively more lucrative for them.
Reflecting bullish investor sentiments, the 30-share key index Sensex surged 1,335.05 points or a whopping 2.25 per cent to reclaim the 60,000-level.