Suresh Ganapathy

Suresh Ganapathy inquired about HDFC Bank's ability to meet its priority sector lending (PSL) obligations without impacting margins and sought an update on the long-term cost-to-income ratio target and the progress of the HDFC One app.

Answer

CFO Srinivasan Vaidyanathan noted that the bank's PSL compliance has improved year-over-year. Executive Director Sashidhar Jagdishan reaffirmed the long-term goal of a 30% cost-to-income ratio, stating that current stability is commendable amidst strategic investments. He added that progress on cross-selling via digital platforms is steady, with notable success in onboarding home loan customers to primary banking services.

Suresh Ganapathy inquired about the bank's ability to meet Priority Sector Lending (PSL) obligations without impacting margins, given the increase in RIDF bonds and PSLC purchases. He also sought an update on the long-term cost-to-income ratio target of 30% and the progress of the 'HDFC one' app for cross-selling.

Answer

CFO Srinivasan Vaidyanathan stated that year-on-year, the bank's PSL compliance has improved. Executive Director Sashidhar Jagdishan reaffirmed the 30% cost-to-income ratio as a medium-to-long-term goal, highlighting that maintaining stability with a downward bias in the current environment is commendable. He added that cross-selling efforts are progressing well, with high savings account linkage for new home loans and increased distribution for subsidiaries.