RBI Approves One-Month Extension for IndusInd Bank’s Interim Executive Committee

New Delhi — The Reserve Bank of India (RBI) has approved a one-month extension for IndusInd Bank’s interim executive committee, allowing it to continue functioning until August 28 or until the appointment of a new Managing Director and Chief Executive Officer (MD & CEO), whichever comes first.

The bank confirmed the extension in a stock exchange filing, stating:
“We now wish to inform that the RBI, vide its letter dated July 25, 2025, has granted its approval for extension of tenure of the said Committee of Executives for a further period of one month, with effect from July 29, 2025, up to August 28, 2025, or until the new MD and CEO is appointed and assumes charge, whichever is earlier.”

The interim committee — consisting of Chief Administrative Officer Anil Rao and Head of Consumer Banking Soumitra Sen — will continue to oversee the bank's day-to-day operations during this period.

The extension ensures leadership continuity as the bank progresses with the selection process for a permanent MD and CEO. The interim committee was initially constituted on April 29, 2025, following the departure of the previous MD and CEO. The RBI had approved the committee’s initial three-month tenure, which was set to end on July 28.

According to the filing, all existing terms and conditions of the interim arrangement remain unchanged, and the committee will continue to operate under the supervision of the Board’s Oversight Committee.

Meanwhile, the bank’s board, backed by the Hinduja family, recently approved plans to raise ?30,000 crore through a combination of debt and equity. This includes ?20,000 crore via debt securities through private placement or equivalent in approved foreign currencies. The board has also permitted the promoters to nominate two directors to the board, part of efforts to restore investor confidence following a recent ?2,000 crore accounting lapse.

With inpust from IANS