IndusInd Bank Sends CEO Shortlist to RBI for Approval Amid Leadership Transition
IndusInd Bank Submits CEO Shortlist to RBI, Eyes Leadership Stability
Mumbai, June 30, 2025 — IndusInd Bank has formally handed over its shortlist for the position of Managing Director and CEO to the Reserve Bank of India, according to individuals close to the process. The list features three experienced leaders from top-tier financial institutions. Notably, one candidate is an internal frontrunner, while the other two hail from prominent competitors, underlining the board’s strategic openness to both internal continuity and external perspectives.
A person familiar with the development commented, “The board ensured a thorough vetting process and met the June 30 deadline for submission.” The RBI will now assess the candidates, with a final decision expected in the coming weeks.
This leadership search follows the resignation of former CEO Sumant Kathpalia, who exited earlier this year after a derivatives-related accounting incident significantly impacted the bank’s financials. The subsequent departure of Deputy CEO Arun Khurana further highlighted the need for a comprehensive leadership overhaul. Throughout the process, IndusInd’s board has worked closely with the RBI to maintain regulatory compliance and ensure organizational stability.
Investors appear to be responding positively to the progress, with IndusInd Bank’s stock edging up about 0.6% early Monday. Analysts note that appointing a credible, forward-thinking CEO will be critical for restoring stakeholder confidence and driving the bank’s strategic agenda.
Pending regulatory approval, the chosen candidate would serve an initial term of three years, subject to performance reviews and shareholder endorsement at the upcoming AGM. When approached, a bank spokesperson declined to comment, citing the ongoing regulatory review.
