HDFC Bank, India’s largest private sector lender, mobilised more than ₹1.5 trillion in deposits during the July-September quarter of FY27, reflecting continued growth in its funding base. According to the bank’s quarterly business update, period-end deposits rose 4.9 per cent sequentially and nearly 19 per cent year-on-year to ₹33.27 trillion as of September 30, 2026. A significant part of the quarter’s foreign currency mobilisation came through the Reserve Bank of India’s special swap facility for FCNR(B) deposits. HDFC Bank mobilised $11.5 billion, equivalent to about ₹1.10 trillion, under the facility, which was introduced in June to encourage banks to raise longer-tenor foreign currency deposits. The lender’s overseas branches extended loan facilities worth $5.7 billion, or ₹54,770 crore, against these deposits. Standby letters of credit issued to other banks in respect of loans against the deposits amounted to another $3.1 billion, or ₹29,340 crore. HDFC Bank also raised $2.5 billion, or ₹23,960 crore, through dollar-denominated senior unsecured bonds between June and August. The RBI’s swap facility offered banks concessional dollar-rupee swap terms, helping reduce the cost of mobilising FCNR(B) deposits. By comparison, ICICI Bank mobilised $17.88 billion in FCNR(B) deposits and raised $3.55 billion through dollar-denominated bonds during the period. On the lending side, HDFC Bank’s period-end gross advances increased 16.3 per cent year-on-year and 5.2 per cent sequentially to ₹32.19 trillion. Its period-end advances under management rose 15.3 per cent year-on-year to ₹33.08 trillion, highlighting sustained credit expansion alongside deposit growth. The bank’s average deposits during the September quarter increased 16.8 per cent year-on-year to ₹31.66 trillion. On a quarterly basis, average deposits rose 5.1 per cent from ₹30.12 trillion in the June quarter. Within the deposit mix, average current account savings account, or CASA, deposits grew 10.7 per cent year-on-year to ₹9.71 trillion, compared with ₹8.77 trillion a year earlier. Average CASA deposits increased 1.5 per cent sequentially from ₹9.57 trillion. Time deposits recorded considerably faster growth, rising 19.7 per cent year-on-year to ₹21.95 trillion from ₹18.34 trillion, while increasing 6.9 per cent quarter-on-quarter from ₹20.55 trillion. At the end of September, CASA deposits stood at ₹10.52 trillion, up 10.8 per cent year-on-year and 2.6 per cent sequentially. Time deposits stood at ₹22.76 trillion, rising 22.8 per cent year-on-year and 6.1 per cent quarter-on-quarter. The latest figures indicate that HDFC Bank continued to expand both its deposit and lending franchises during the quarter, with time deposits contributing strongly to overall deposit growth. The bank’s performance also reflects the impact of the RBI’s temporary FCNR(B) swap window, which supported foreign currency mobilisation during the quarter. The rise in advances broadly kept pace with the expansion in deposits, supporting the bank’s ability to fund credit demand while maintaining a diversified liability profile. The strong increase in time deposits suggests customers continued to favour term-based savings, even as CASA balances also registered healthy annual growth. Together, these trends point to sustained balance-sheet expansion as the bank enters the second half of FY27 with stronger deposits, rising advances and broader funding sources ahead.
HDFC Bank Boosts Deposits Through FCNR(B) Mobilisation and Strong Funding Growth
