MUMBAI: HDFC Bank has submitted two names in order of preference to RBI for appointment as its next managing director and CEO, setting in motion the succession process ahead of Sashidhar Jagdishan’s exit at the end of Oct.Alongside the CEO shortlist, the board also approved a revamp of its senior management by elevating chief credit officer Jimmy Tata as an executive director for three years, subject to RBI approval, seeking a one-year extension for executive director V Srinivasa Rangan from Nov 23, 2026, and creating an additional executive director post. The changes will take the number of whole-time directors at India’s largest private lender to four. The new position will be finalised in consultation with the incoming MD and CEO.
Expanded board to strengthen oversight of bank’s subsidiaries
The expanded board is also expected to strengthen oversight of the bank’s subsidiaries, including HDFC Life, HDFC AMC and HDFC ERGO.“The period of uncertainty is over. The bank has sought to resolve all the issues that it had faced in recent months and with a new CEO in place it is poised to be back on rail,” said a person familiar with the matter. From getting a new chairman in former CEC Rajiv Kumar to dealing with the charges of mis-selling of bonds as well as addressing the problems around deposits mobilised from a Maharashtra PSU, the board has been addressing the concerns one by one.HDFC Bank shares (ADS) closed 6.9% higher on NYSE Friday.The succession process began after Jagdishan decided not to seek another term when his current tenure ends in Oct 2026. Deputy managing director Kaizad M Bharucha is widely seen as a leading internal contender. Bharucha joined HDFC Bank in 1995 and its board in 2014. He has handled corporate banking, wholesale credit, retail assets and the mortgage business.Names discussed in financial circles have included former SBI chairman Dinesh Khara, Citi India head K Balasubramanian, ICICI Prudential Life CEO Anup Bagchi and former HDFC Bank DMD Paresh Sukthankar.
HDFC Bank
The board changes also strengthen the bank’s internal succession bench as it completes the integration following its merger with HDFC Ltd. Tata’s elevation adds a senior credit and risk-management executive to the whole-time directorate.Rangan’s proposed extension would provide continuity in real estate finance, treasury and capital management. He joined HDFC Bank’s board in Nov 2023 after serving as executive director and CFO of the erstwhile HDFC Ltd. A CA and housing finance veteran, he also represents the bank on the board of HDFC AMC.The CEO shortlist and the proposed ED appointments now await RBI approval.