HDFC Bank shares surge 6% as RBI Guv says no governance or conduct-related issues found

Responding to a question at the post-monetary policy press conference on the sudden resignation of HDFC Bank Chairman Atanu Chakraborty and the subsequent fall in its share price, Malhotra said the RBI had also seen the minutes of meetings of the lender, and the RBI did not find anything of material concern.

He said the RBI in its press release on March 19 too had said there were no material concerns on record as regards the bank's conduct or governance.

“HDFC Bank is a Domestic Systemically Important Bank (D-SIB) with sound financials, a professionally run board and a competent management team. Based on our periodical assessment, there are no material concerns on record as regards its conduct or governance,” the RBI said in its press release.

Chakraborty had resigned on March 18.

Malhotra also asserted that India's banking system is "very resilient, safe, and strong".

He said there are no systemic risks with regard to profitability and health of banks amid the West Asia conflict.

To another question, the governor indicated that the low interest rate regime may continue for long.

He also said measures recently taken by the RBI to check volatility of the rupee will not remain forever.

HDFC Bank share price

At 2:20 PM, HDFC Bank shares were trading at ₹811.85 apiece on the National Stock Exchange, gaining 5.16%.

Over a month’s time, the stock has slipped 3.4%, while it has tumbled 17% in the last six months. From the beginning of the year, HDFC Bank shares have tanked 18%.

Shares of the lender had hit a 52-week high of ₹1,020.50 on October 23, 2025, and a 52-week low of ₹726.65 on April 2, 2026.

The bank has a total market capitalisation of ₹12.51 lakh crore, according to data on the NSE.

HDFC Bank Q4 updates

The country's second-largest lender had reported a 12% credit growth to ₹29.6 lakh crore for the March quarter. Its total advances were ₹26.43 lakh crore at the end of March 31, 2025, HDFC Bank had said.

The lender reported a 14.4% rise in total deposits to ₹31.05 lakh crore from ₹27.14 lakh crore at the end of the fourth quarter of the preceding financial year.

During the period, CASA deposits recorded a growth of 12.3% to ₹10.6 lakh crore compared to ₹9.4 lakh crore in the year-ago period.

The bank's period-end time deposits were approximately ₹20.45 lakh crore as of March 31, 2026, a growth of around 15.5% over ₹17.7 lakh crore as of March 31, 2025.