The Reserve Bank of India (RBI) has dismissed recent market speculation regarding IndusInd Bank, assuring depositors that the bank remains financially stable and well-capitalized. The central bank’s statement follows concerns arising from developments in the lender’s derivatives portfolio.
“There is no need for depositors to react to speculative reports at this juncture. The bank’s financial health remains stable and is being closely monitored by the RBI,” the central bank stated.
Key Financial Indicators
RBI highlighted that IndusInd Bank’s Capital Adequacy Ratio stood at 16.46%, while its Provision Coverage Ratio was 70.20% for the quarter ending December 2024. Additionally, its Liquidity Coverage Ratio (LCR) was 113% as of March 9, 2025, exceeding the 100% regulatory requirement.
Audit and Regulatory Oversight
To ensure full transparency, IndusInd Bank has already engaged an external audit team to conduct a comprehensive review of its internal systems and financial impact. The RBI has directed the bank’s board and management to complete all necessary remedial actions within Q4FY25 and disclose findings to stakeholders.
Concerns arose earlier this week when IndusInd Bank disclosed discrepancies in its derivatives portfolio to stock exchanges, stating that the issue could impact its net worth by 2.35% as of December 2024. Despite this, the RBI reassured depositors that the bank remains financially sound and under strict regulatory supervision.
