HDFC Bank CEO Sashidhar Jagdishan announced his resignation as his term ends on October 26. He has led the bank since October 2020, overseeing significant mergers and profit growth, while also facing controversies related to irregularities and regulatory issues during his tenure.
HDFC Bank's managing director and chief executive, Sashidhar Jagdishan, on Saturday decided to step down as his current term ends on October 26, and is not considered for reappointment.
Jagdishan, 61, spent nearly three decades at the bank. After taking over as the bank CEO in October 2020, Jagdishan is serving his second three-year term as the lender's head.
The bank said he conveyed his decision not to seek reappointment despite the board's persuasion.
"The board deeply appreciated his commitment, leadership, contribution to the growth and stability of the Bank and his role in the successful completion of one of the largest mergers in corporate India," the regulatory filing said.
It also conveyed best wishes to Jagdishan in his future endeavours.
Jagdishan took charge as HDFC Bank’s MD & CEO on October 27, 2020, succeeding Aditya Puri.
Within months, the lender announced the merger of its major parent, HDFC, with itself, leading to significant expansion of the asset book and concerns over business performance, HDFC liability payouts, and compressed net interest margins of the combined entity.
The management, however, pointed out that the merger will yield long-term benefits.
According to a report published by HDFC Bank, during his tenure, the lender delivered strong profit growth, though the growth was moderate in recent years. In FY21, HDFC Bank’s net profit touched 18.5% to ₹31,116.5 crore, and the net interest income grew 15.5% to ₹64,879.6 crore.
By FY24, profit after tax grew to ₹60,812.3 crore, up 37.9% on a standalone post-merger basis, as the bank also gained market share in deposits and advances.
And for FY26, HDFC Bank’s reported profit stood at ₹74,670 crore, with ROA at 1.8% and ROE at 14%. It expects profit to rise to ₹84,230 crore in FY27, with ROE improving to 14.1%
However, Jagdishan's tenure was marred by several controversies. In late July, the bank’s board found some irregularities in its deposit arrangements with the Maharashtra State Road Development Corporation (MSRDC). Following this, the bank also slapped a fine of ₹1 lakh each on Jagdishan and other key executives. Although it said there was no bad intention behind their actions.
The issue was that the bank allegedly paid MSRDC more than the standard interest rate, or “card rate”, to attract large deposits from the state-run agency. These extra payments were reportedly shown in the bank’s books as marketing expenses.
During his tenure, Jagdishan had also faced allegations of graft in the Lilavati Hospitals matter, which was eventually dismissed by the Bombay High Court.
The RBI imposed an 'embargo' on HDFC Bank in December 2020, prohibiting the bank from issuing new credit cards and launching new digital initiatives due to recurring technology outages. The management under Jagdishan ensured that the embargo was completely lifted in 15 months.
(With inputs from PTI)
Sanchari Ghosh is an Assistant Editor at Mint with over 12 years of experience in journalism, specialising in personal finance, DLT & DeFi, geopolitics and foreign policy, with a particular emphasis on how these areas intersect. <br> She writes extensively about how money works in everyday life—helping readers navigate personal finance decisions. <br> As AI reshapes investing behaviour, capital is increasingly flowing into decentralized ecosystems, redefining how assets are managed, traded, and valued. She focuses on explaining how money flows within frameworks like Distributed Ledger Technology (DLT), DeFi protocols, and crypto markets—while also exploring what the future of money could look like in a trustless, programmable financial world. <br> She also focuses on immigration-related issues, simplifying complex topics around visas, passports, overseas financial planning, and the many practical challenges Indians face while moving or living abroad. <br> Alongside personal finance, Sanchari has a strong understanding of international politics, contemporary and historical conflicts, and global state decisions. She closely tracks how geopolitical developments influence economies, markets, and individual financial choices, bringing together finance and global affairs in her reporting. <br> She began her career as a desk editor, which gave her a strong foundation in news writing. Over time, her interest naturally shifted toward personal finance. Before joining Mint in 2020, she worked DNA, The Times of India, Outlook Money, BloombergQuint, and ETMoney. At Mint, she got an opportunity to expand her coverage to include immigration and geopolitical developments while continuing to closely follow personal finance trends and market movements.As a journalist, she is committed to accuracy, intellectual rigour, and fairness. <br> She is an English Major and her work took her across cities including Delhi, Mumbai, and Pune. Living independently from an early age gave her firsthand experience in managing life and money on her own. This practical exposure sparked her strong interest in personal finance. <br> Outside the newsroom, Sanchari is a sports enthusiast who regularly plays lawn tennis and squash. In her younger years, she was also a national-level badminton player.
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