(An Autonomous Apex Institute Established by RBI & Banks)
(An Autonomous Apex Institute Established by RBI & Banks)
The merger of HDFC Limited with its associate, HDFC Bank, has further increased the size of the latter and benefited it from various organisational synergies. At the same time, the nature of the bank, being retail- and transaction-oriented, may have also changed as it moves towards higher exposures in wholesale and corporate banking. There may be, therefore, consequent impacts from the rise in industry concentration as well as systematic risk for the bank, and hence a need for enhanced corporate governance and regulatory oversight.