ICICI Bank has become the sixth Indian company to reach a market capitalization of over $100 billion, driven by strong performance and a robust loan growth strategy. The bank’s stock surged to an all-time high, propelling its market value to $105.55 billion. This achievement places ICICI Bank alongside other prominent Indian companies like Tata Consultancy Services and HDFC Bank.
Narayanan Vaghul, the former chairman of ICICI Bank and a renowned figure in the Indian banking industry, passed away at the age of 88. Cremated in Chennai on Sunday, Vaghul left behind a legacy of transformative contributions to the country’s financial landscape. Known as the “Bhishma Pitamaha” of banking, he played a pivotal role in shaping the modern banking system in India.
Narayanan Vaghul, an illustrious figure in the Indian banking industry, passed away in Chennai on Saturday at the age of 88. The Padma Bhushan awardee contributed significantly to the development of ICICI Bank and served as the chairman of Bank of India at the age of 44. Vaghul is survived by his family, including his wife, daughter, and son.
Narayanan Vaghul, the highly acclaimed Indian banker who played a pivotal role in the development of ICICI Bank, is currently in a critical condition and receiving ventilator support. Vaghul’s illustrious career includes accolades such as the prestigious Padma Bhushan award, which he received in 2009. Notably, he holds the record for becoming the youngest head of a bank when he assumed the chairmanship of Bank of India at the remarkable age of 44.
ICICI Bank’s shares experienced a significant rise of over 2% on Monday after the company announced an 18.5% growth in its consolidated net profit for the March quarter, which stood at ₹ 11,672 crore. This increase was primarily driven by a reduction in provisions.
For the fiscal year 2023-24, the bank’s standalone net profit grew from ₹ 31,896 crore to ₹ 40,888 crore. The stock reached its 52-week high on both the BSE and NSE, climbing by 2.51% and 2.44% respectively to ₹ 1,135.
The bank’s core net interest income also showed an increase of 8.1% to ₹ 19,093 crore, driven by a 16.8% growth in loans. However, this growth was partially offset by a compression in net interest margin.
Furthermore, the bank reported a notable reduction in provisions, which fell by more than half to ₹ 718 crore for the quarter. The gross non-performing assets ratio also improved from 2.30% in December 2023 to 2.16%.
Short-term Fixed Deposits (FDs) offer varying interest rates across banks in India. HDFC Bank, ICICI Bank, and Yes Bank provide rates between 3% and 7.25% for terms under one year. Public sector banks like SBI and PNB offer rates ranging from 3% to 7%. Small finance banks such as Unity Small Finance Bank and Jana Small Finance Bank provide competitive rates up to 8.50%. Investors should compare interest rates and terms offered by different banks to select the best FD option for their needs.
