Home Articles Research

Research

Research articles published by Hemindra Hazari.

The language used in the writ petition filed by Kotak Mahindra Bank (KMB) in Bombay High Court against the banking regulator should have alarmed shareholders. They would be even more apprehensive if they read the language used by the Reserve Bank of India (RBI) in its reply....
EXECUTIVE SUMMARY. Although ICICI Bank reported a strong performance in 3QFY20, the market has ignored the increase in the deferred tax asset (DTA) which inflated the net profit by Rs 2 bn. It would have been more prudent for the bank to continue with its earlier practice...
EXECUTIVE SUMMARY. A newly-appointed (on October 9, 2020) deputy governor of the Reserve Bank of India (RBI) has proposed, for discussion, that large systemically-important non-bank finance companies (NBFCs) either convert themselves into banks, or that they contract assets, in order to protect financial stability. This proposal not...
EXECUTIVE SUMMARY. Institutional investors were recently in the news for opposing a 10% pay hike for a CEO-promoter in FY2021, a year of bad results for his firm. One big story went unremarked: that the latest pay hike was on a high base, since the CEO had received...
EXECUTIVE SUMMARY. The Council of Ethics of the Government Pension Fund Global (GPFG), the Norwegian sovereign fund, recommended on February 19, 2020 that Page Industries (licensed to produce the Jockey brand of clothing and Speedo in India) be excluded from investment by the fund.  GPFG is the...
It is Uday Kotak’s swan song year as chief executive officer of Kotak Mahindra Bank (KMB), and the theme of the bank’s FY2023 annual report  is “Acceler@ting Change”. In line with this, the bank’s “strategy emphasises on building younger , diverse and future-fit talent at the Group.”...
EXECUTIVE SUMMARY. When an anonymous whistleblower tweets on malpractices at India’s most valuable bank, and provides authentic information to justify his claims, one would expect prominent banking journalists and independent directors of the bank to read his tweets. After verifying the details, they ought to bring these...
EXECUTIVE SUMMARY. HDFC Bank’s low-cost liabilities strategy of focusing on huge numbers of new client acquisitions in the semi-urban and rural centres may be getting large numbers of new customers, but is not resulting in significant growth in current and savings account deposits (CASA). The pressure on...
EXECUTIVE SUMMARY. The Finance Minister, Nirmala Sitharaman has announced the slashing of effective corporate tax to 25.17%, inclusive of all cesses and surcharges, effective from April 1, 2019, for domestic companies.  Along with other relief measures this will result in a revenue forgone of Rs 1,450 bn...
EXECUTIVE SUMMARY. Data from the Reserve Bank of India (RBI) reveal that, in the recent period of declining interest rates, while all banks have been reducing their deposit rates as well as their benchmark rates (marginal cost of fund-based lending rates), in July 2020 private sector banks...