HDFC Bank CEO Sashidhar Jagdishan to Step Down in October 2026

HDFC Bank CEO Sashidhar Jagdishan will step down from his position on October 26, 2026, after deciding not to seek reappointment for another term. The announcement comes as India's largest private-sector lender prepares to fast-track the selection of his successor.

HDFC Bank said in a regulatory filing that Jagdishan had reiterated his decision not to seek another term and would retire from the bank's services at the close of business on October 26.

Jagdishan had been expected to seek a third term as the bank's chief executive.

Exit follows governance-related concerns

Jagdishan's departure comes months after Atanu Chakraborty resigned as HDFC Bank's part-time chairman in March, citing differences over ethics and internal practices.

In his resignation letter, Chakraborty said certain developments and practices within the bank over the previous two years were not consistent with his personal values and ethics. His exit prompted investor attention and questions about the bank's internal functioning.

HDFC Bank subsequently commissioned an independent legal review. According to the bank, the review found no evidence or records supporting the governance and ethical concerns raised by Chakraborty.

The bank later appointed former bureaucrat Rajiv Kumar as chairman in July.

Jagdishan was among three executives fined

In July, Jagdishan was among three senior HDFC Bank executives who received a Rs 1 lakh penalty each following an internal review of the bank's arrangement with the Maharashtra State Road Development Corporation.

The other executives were CFO Srinivasan Vaidyanathan and Group Head for Retail Assets Arvind Vohra.

The internal committee did not find conclusive evidence of bad faith, personal enrichment or improper motive. However, it concluded that the conduct involved amounted to “business overreach”.

Reports had earlier alleged that HDFC Bank paid Rs 45 crore to MSRDC to attract large deposits, with the payments reportedly classified as marketing expenses. HDFC Bank denied wrongdoing and said its internal oversight, audit and control mechanisms were robust.

HDFC Bank's financial performance

The leadership transition comes as HDFC Bank continues to report growth in its core business.

For the April-June quarter of FY27, the bank reported a 5 per cent rise in standalone net profit to Rs 19,060 crore, compared with Rs 18,150 crore in the same period a year earlier.

Total loans grew 15.4 per cent year-on-year, supported largely by housing loans, personal loans and other retail lending. Deposits increased 13.3 per cent.

Net interest income rose 6.7 per cent to Rs 33,530 crore, while the bank's net interest margin stood at 3.26 per cent.

Gross non-performing assets increased marginally to 1.17 per cent from 1.15 per cent in the previous quarter. Meanwhile, provisions and contingencies declined 78 per cent year-on-year to Rs 3,060 crore.

HDFC Bank's board will now accelerate the process of identifying Jagdishan's successor ahead of his October 26 exit.