Bandhan Bank Q4 Business Update: Advances rise to Rs. 1.54 lakh crore, a 10% increase in deposits

As per its provisional update released on Saturday, Bandhan Bank reported a healthy growth in advances with stable deposit mobilization for the quarter ended March 31, 2026. Bank loans and advances, including on-book and PTC, stood at Rs. 1.54 lakh crore, registering a sequential increase of 12.6% and 6.2% year-on-year.

Total deposits Rs. 1.66 lakh crore, up 10% from a year ago and up 6.1% on a quarter-on-quarter basis. CASA deposits grew by 2.8% YoY to Rs. 48,751 crores, the CASA ratio at the end of the quarter is 29.31%.

Retail term deposits saw strong growth, rising 30.1% year-on-year to Rs. 73,796 crores. Aggregate retail deposits including CASA grew by 17.7% to Rs. 1.22 lakh crore has been done. Bulk deposits declined by 6.9% YoY to Rs. 43,797 crores. Meanwhile, the share of retail deposits in total deposits increased to 73.67% from 68.88% in the same period last year.

The bank reported a liquidity coverage ratio of around 131.76% as on March 31, 2026. Collection efficiency remained strong, with pan-bank efficiency excluding NPAs compared to 98.1% in December 2025. 98.9% for March 2026

Banking stocks have come under intense pressure in the last three months with most lenders underperforming the benchmark Nifty 50 amid a challenging macro backdrop marked by sustained foreign institutional investor (FII) outflows, rising geopolitical tensions and rising energy prices. Bandhan Bank is down 18% in last 1 month.

The underperformance comes amid continued sell-off by FIIs, which have disproportionately affected financials due to heavy weighting in benchmark indices. At the same time, the escalation of the Iran-Israel conflict has pushed up crude oil prices, raising concerns about inflation and delaying expectations of interest rate cuts by global central banks.

The lender has also hit the headlines after The Economic Times reported that Bandhan Financial Services is exploring exit options for its long-term investors, including GIC Ventures and International Finance Corporation.

Also Read: HDFC Bank Q4 Business Update: Lender reports 15% YoY growth in deposits, advances up 12%

The report said the company has hired Jefferies to assess investor interest, particularly from private equity funds. The move is in line with regulatory requirements that compel Bandhan Financial to reduce promoter stake in the bank to 26% by 2030.

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