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26-Jan-2026

Kotak Mahindra Bank

Expects downward trajectory for credit cost to continue at a moderate pace


'Kotak Mahindra Bank conducted a conference call on 24 January 2026 to discuss its financial results for the quarter ended December 2025. Ashok Vaswani, MD&CEO of the bank addressed the call:

Highlights:

The banking sector credit growth is healthy but the flows into commodities and capital markets are putting pressure on the low-cost deposits growth. There is volatility in the liquidity conditions in the system, while the long-term rates have firmed up.

The bank is focused on a strategy to scale responsibly.

The bank has recorded 16% growth in the net advance in line with the strategy to grow at 1.5 -2.0x of nominal GDP growth.

The bank has continued growth at 4% on a qoq basis for every last 4 quarters.

The deposits have increased 15% with the focus on growth in the low-cost Casa deposits.

The net interest margins have remained healthy at 4.54% in Q3FY26 driven by low cost of funds.

There was increase in short term liq...



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