BusinessPhoto: Business StandardFCNR(B) Deposits Pressure Margins of Private Banks in Q2FY27
In Q2FY27, large inflows of Foreign Currency Non-Resident (Bank) deposits under RBI's concessional swap window pressured margins at major private banks. HDFC Bank's net interest margin (NIM) fell 10 basis points to 3.16%, while ICICI Bank's NIM dropped 18 basis points to 4.18%. HDFC Bank expects margin recovery as funds are deployed and interest rates rise, aided by a shift towards retail and MSME loans.
Business Standard·



