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Published 13:46 IST, August 4th 2020

RBI gives nod for Sashidhar Jagdishan as Puri's successor at HDFC Bank

RBI has officially approved the appointment of Shashidhar Jagdishan as the MD and CEO of HDFC, the bank informed the stock exchange on Tuesday.

Reported by: Gloria Methri
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The Reserve Bank of India (RBI) has officially approved the appointment of Shashidhar Jagdishan as the MD and CEO of HDFC, the bank informed the stock exchange on Tuesday.

"The Reserve Bank of India... has approved the appointment of Mr Sashidhar Jagdishan as Managing Director & CEO of the Bank for a period of 3 years w.e.f. his date of taking charge, i.e. October 27, 2020, under Section 35B of the Banking Regulation Act 1949," the central bank said in a statement.

Read | HDFC Bank's Aditya Puri reveals 'successor has spent 25 years' with company

Shashidhar will succeed Aditya Puri, who has been associated with the private sector lender since it started operations back in 1994. Puri is set to retire in October this year. Last month, he sold shares of HDFC Bank worth Rs 843 crore.

Shashidhar’s journey in HDFC

Presently, Jagdishan is the Group Head and Change Agent of HDFC Bank. He joined the company in 1996 as a Manager in the Finance function and went on to become Business Head- Finance in 1999. He was appointed as Chief Financial Officer in 2008, thus holding almost 3 decades of experience in the banking sector. Sashidhar is a Charted Accountant by profession who also holds a Master’s degree in Economics of Money, Banking & Finance.

Read | Aditya Puri sells HDFC Bank shares worth Rs 843 crore

The outgoing Aditya Puri nurtured HDFC from the initial stage as he aimed to create a world-class Indian Bank. He has been the longest-running CEO of any bank in the country. Puri is credited with scripting the bank’s success story, having grown the bank’s balance sheet by a consistent 20% annual growth rate.

HDFC Bank had in April this year recommended Shashidhar Jagdishan, Kaizad Bharucha and Sunil Garg’s names for post. The latest development lifts the veil on who will be leading India’s largest privet sector bank out of the woods in the coming fiscal year after the coronavirus induced economic slowdown has put the banking sector in stress. HDFC Bank shares were up 4.67% to trade at Rs 1,048 per share.

Read | Sensex soars to over four-month high on vaccine hopes; RIL, HDFC sparkle

Read | 2 HDFC Bank officials arrested for bribe

13:39 IST, August 4th 2020