Gaurav Singhal's questions to HDFCBANK leadership • Q2 2025
Question
Gaurav Singhal asked for details on Priority Sector Lending (PSL), questioning if the bank was meeting more of its requirements organically, given the change in 'other assets'. He also asked if the bank plans to reaccelerate non-mortgage retail lending to regain market share as peers face rising credit costs.
Answer
CFO Srinivasan Vaidyanathan explained that the bank endeavors to meet PSL gaps, particularly for small and marginal farmers, as much as possible organically, though other tools like PSLCs remain available. Regarding non-mortgage retail, Vaidyanathan noted that despite moderated growth (9-10% recently vs. 19% previously), the bank remains a market leader in key segments like personal loans, auto, and cards, with a strong retail GNPA of 0.8%. CEO Sashidhar Jagdishan added that the current stable asset quality positions them well to capture growth with the right customers when the credit cycle turns.