RBL Bank reported a nearly threefold increase in its profit for the second quarter of FY27, reaching Rs 482 crore. The private sector lender’s deposits grew 34% year-on-year to Rs 1.56 lakh crore, while advances increased 42% to Rs 1.42 lakh crore, supported by mobilisation of FCNR(B) deposits and loan deployment, according to bfsi.economictimes.indiatimes.com.
The bank’s CEO, R Subramaniakumar, clarified that excluding the FCNR(B) impact, deposit growth was 6% and underlying advances growth was around 30%. RBL Bank had mobilised significant FCNR(B) deposits during the quarter and deployed Rs 10,309 crore of these funds into loans as of September 30. Subramaniakumar emphasized that the 42% advance growth should be viewed in the context of the FCNR(B) component, with underlying growth remaining strong.
RBL Bank plans to continue raising deposits aligned with deployment needs, focusing more on retail term deposits and granular liabilities. Retail term deposits grew 16% during the quarter, compared with 22% in the previous quarter. The bank aims to raise deposits only to the extent of deployment requirements, avoiding raising deposits without corresponding loan growth, as stated by Subramaniakumar.
The bank’s Q2 FY27 investor presentation and CEO comments provide detailed insights into its deposit and loan growth strategies, highlighting Rs 10,309 crore loans against FCNR(B) deposits as of September 30.