The bank operates across retail, wholesale, and treasury segments, focusing on building a robust retail franchise while continuing to serve corporate and infrastructure clients. A key strategy is leveraging digital banking and technology-driven solutions.
IDFC First Bank benefits from the combined strengths of IDFC’s infrastructure financing expertise and Capital First’s retail presence. This diversified portfolio presents opportunities for growth. However, the bank faces challenges common to the sector, including intense competition, managing non-performing assets, and navigating regulatory changes. Consistent profitability remains a key focus area.
Latest News on IDFC First Bank
IDFC FIRST Bank, AWS, and Campus Fund_wrap up the Grand Challenge 2025, honoring the most innovative student-led startups in India.
The Grand Challenge 2025, a national platform for student entrepreneurship in India, has concluded its sixth edition with Novyte being named the Best Student Startup of 2025. Novyte, founded by students from the Institute of Chemical Technology, has developed a Gen AI-powered materials discovery platform that enables the rapid identification of manufacturable and stable materials for various applications. The platform was recognized for its innovative solution and potential to drive significant impact in the industry.
The Grand Challenge 2025 received nearly 1,500 applications from campuses across India and abroad, and 13 exceptional student-led startups were selected to present at the Grand Finale. The finalists represented a wide range of sectors, including AI, deeptech, climate, healthcare, consumer, mobility, and industrial innovation. The top three winners were Novyte, Cosma, and Rhygen, which developed innovative solutions in materials discovery, fertility care, and hybrid powertrains, respectively.
The Grand Challenge 2025 was powered by 360 ONE and Base, and was supported by AWS, IDFC FIRST Bank, and Campus Fund. The platform provides access to capital, cloud infrastructure, mentorship, and long-term institutional backing to student founders. The event was attended by a distinguished panel of leaders from business, finance, technology, and entrepreneurship, who evaluated the startups and provided feedback.
The Grand Challenge 2025 reflects a clear shift in India’s startup ecosystem towards deep, defensible innovation led by student founders. The platform has provided a launchpad for student entrepreneurs to showcase their innovative ideas and solutions, and has helped to identify and support the next generation of Indian entrepreneurs. The winners of the Grand Challenge 2025 will receive support and resources to help them scale their startups and drive impact in their respective industries.
The Grand Challenge 2025 has demonstrated the potential of student entrepreneurship in India and has highlighted the need for continued support and resources to help student founders drive innovation and growth. The event has also shown that the next generation of Indian entrepreneurs is ready to lead on the global stage and make a significant impact in the startup ecosystem. With the support of organizations like AWS, IDFC FIRST Bank, 360 ONE, and Base, the Grand Challenge 2025 has provided a platform for student entrepreneurs to showcase their innovative ideas and solutions, and has helped to drive the growth of the startup ecosystem in India.
IDFC FIRST Bank launches its premium Zero-Forex Diamond Reserve Credit Card
IDFC FIRST Bank has launched a new premium credit card, the Zero-Forex Diamond Reserve Credit Card, designed for customers with frequent international travel needs. The card offers a range of benefits, including zero foreign exchange markup on international transactions, reward points on travel and regular spending, and access to airport lounges in India and overseas. Cardholders will also receive benefits such as complimentary golf sessions, hotel stay offers, and entertainment-related discounts.
The card includes travel-related insurance covers, including baggage loss, flight delays, trip cancellation, and accident insurance, as well as personal accident and air accident cover. Additionally, reward points earned on the card have a lifetime validity, with no cap on accumulation and flexibility to redeem across online purchases.
The annual fee for the card is ₹3,000 plus GST, but this can be waived from the second year onwards for customers who meet a specified annual spending threshold. The card is available through digital channels for eligible customers.
According to Shirish Bhandari, Head of Credit Cards at IDFC FIRST Bank, the Zero-Forex Diamond Reserve Credit Card is aimed at customers who travel frequently and want to combine zero forex charges with travel-linked rewards and benefits. The launch of this card is part of a growing trend in the premium credit card segment, where banks are competing to attract high-spending customers with travel-focused propositions and bundled lifestyle benefits.
The introduction of this card is likely to appeal to customers who travel frequently and want to minimize their foreign exchange costs. With its range of benefits and rewards, the Zero-Forex Diamond Reserve Credit Card is positioned as a competitive offering in the premium credit card market. As the credit card market continues to evolve, it will be interesting to see how this new offering from IDFC FIRST Bank is received by customers and how it compares to other premium credit cards available in the market.
IDFC FIRST Bank Overhauls Credit Card Perks for 2026: A Breakdown of All the Key Updates
IDFC First Bank has announced changes to its benefits, perks, and rewards for the upcoming year, affecting its credit card users. The changes, which will be implemented in January and April 2026, aim to make rewards more structured and linked to spending and payment habits. Here are the key updates:
Changes in Premium Credit Cards (Ashva and Mayura)
- International spending rewards have been reduced from 10X to 5X reward points by default. To earn the higher reward rate, cardholders must spend at least ₹20,000 in a billing cycle.
- Failure to pay the minimum amount due on time will result in no reward points for that month, regardless of spending.
Changes in Lifetime-Free Cards (Classic, Select, Wealth)
- Reward points will now be earned at a slower rate, with ₹200 spent required to earn one reward point, up from ₹150.
- Cardholders must spend above ₹20,000 per month to earn higher reward points.
Airport Lounge Access
- The number of free lounge visits has been reduced on some cards, with lounge access now based on spending.
- Select Credit Card holders will get 1 free domestic lounge visit per quarter, while Wealth Credit Card holders will get 1 domestic and 1 international lounge visit per quarter.
Other Changes
- FASTag recharges and railway ticket bookings will earn only basic reward points, with a 1% charge applicable on spends above ₹10,000 and ₹25,000, respectively.
- Travel bookings made through the IDFC FIRST Bank mobile app will earn extra reward points, with 33% extra points on hotel bookings and 20% extra points on flight bookings.
Impact on Cardholders
- Regular spenders above ₹20,000 per month can still earn decent rewards.
- Lounge access is still available, but cardholders must meet the minimum spending criteria.
- Paying credit card bills on time is crucial to earning rewards.
Overall, the changes aim to make rewards more structured and linked to spending and payment habits. While some benefits have been reduced, cardholders can still earn decent rewards by understanding the new terms and conditions. It is essential for IDFC First Bank credit card users to review the changes and adjust their spending habits accordingly to maximize their rewards.
Stock Market Updates of IDFC First Bank
Recent Updates
IDFC FIRST Bank Introduces Gaj: An Exclusive, Invitation-Only Metal Card Designed for Select IDFC Private Banking Clients
IDFC FIRST Bank has launched a new premium metal credit card called Gaj: Credit Card, which is an invitation-only offering for select high-net-worth individuals (HNIs). The card is part of the bank’s Ashva-Mayura-Gaj: trilogy and represents the pinnacle of the series. The Gaj: Credit Card is designed to signify majesty, wisdom, stability, and sovereign power, and its design features a signature twin-elephant motif crafted on metal.
The card comes with a range of premium benefits, including a 1:1 rewards structure, zero foreign exchange markup, and a set of travel and lifestyle privileges. It also offers a dedicated trip cancellation cover, interest-free global ATM cash access, and complimentary international and domestic lounges. The card has a joining and annual fee of ₹12,500 + GST, which can be offset by redeeming 12,500 invitation Rewards Points.
According to Shirish Bhandari, Head of Credit Cards at IDFC FIRST Bank, the Gaj: Credit Card reflects the bank’s deep respect for Indian heritage and its achievers. The card is designed to be complete in every respect, combining feature depth with an inspirational Indian design.
IDFC FIRST Bank is one of India’s fast-growing private banks, with a vision to build a world-class bank founded on principles of ethical, digital, and social good banking. The bank has a customer base of 35 million, with a customer business of Rs. 5,35,673 crore, and operates through 1,041 branches. It offers a range of services, including retail, MSME, rural, startups, corporate banking, and wealth management.
The bank is committed to doing right even when customers are not watching and has simplified descriptions, calculations, and legal jargon to avoid confusing customers. It also has a modern technology stack that delivers high-quality services across all channels and strives to deliver fintech-grade experiences on its banking platform.
Overall, the Gaj: Credit Card is a premium offering that is designed to meet the needs of high-net-worth individuals who value exclusivity, convenience, and rewards. With its unique design, range of benefits, and commitment to customer satisfaction, the card is likely to appeal to those who are looking for a high-end credit card experience.
IDFC FIRST Bank Launches Exclusive Gaj Credit Card, a Premium Metal Card Available Only by Invitation to Select Elite Customers – Goodreturns
IDFC FIRST Bank has launched an exclusive metal credit card called Gaj Credit Card, designed for elite customers. This invitation-only credit card is made of metal and offers a unique set of benefits and rewards. The Gaj Credit Card is not available for public application and is only offered to select customers who meet the bank’s criteria.
The card is made of a durable metal material and has a sleek design, making it a premium product. The benefits of the Gaj Credit Card include unlimited lounge access, golf privileges, and exclusive dining offers. Cardholders also receive a dedicated concierge service, which provides personalized assistance for travel, entertainment, and lifestyle needs.
One of the key features of the Gaj Credit Card is its rewards program. Cardholders can earn rewards points on every transaction, which can be redeemed for travel, merchandise, or other rewards. The card also offers a high credit limit, allowing cardholders to make big-ticket purchases with ease.
The Gaj Credit Card also comes with a range of insurance benefits, including travel insurance, purchase protection, and concierge services. Cardholders also receive exclusive access to premium events and experiences, such as concerts, sporting events, and wine tastings.
To be eligible for the Gaj Credit Card, customers must meet certain criteria, such as having a high income, a good credit score, and a long-term relationship with the bank. The bank uses a proprietary algorithm to identify potential customers and invites them to apply for the card.
The Gaj Credit Card is a reflection of IDFC FIRST Bank’s commitment to providing premium banking services to its elite customers. The bank’s goal is to provide a unique and personalized experience to its high-net-worth customers, and the Gaj Credit Card is an important part of this strategy.
Overall, the Gaj Credit Card is a unique and exclusive product that offers a range of benefits and rewards to elite customers. With its metal design, unlimited lounge access, and dedicated concierge service, the card is sure to appeal to high-net-worth individuals who value premium banking services. However, the invitation-only criteria may limit its availability to a select few.
IDFC First Bank Cuts Rewards on Premium and Lifetime-Free Credit Cards, Reports scanx.trade
IDFC First Bank has announced significant changes to its credit card rewards program, impacting both premium and lifetime-free cards. The bank has reduced the rewards earning rates and capped the benefits on several of its popular credit cards. This move is likely to disappoint many of its customers who have been using these cards for their rewards and benefits.
The changes affect some of the bank’s most popular credit cards, including the IDFC First Classic, IDFC First Select, and IDFC First Wealth cards. The rewards earning rates on these cards have been reduced, with some cards now offering as little as 0.5% to 1% rewards on everyday spends. Additionally, the bank has introduced caps on the maximum rewards that can be earned per month, which will limit the benefits that customers can accrue.
The IDFC First Classic card, which was previously a popular choice for its 1.5% rewards earning rate, will now offer only 0.5% rewards on all spends. The IDFC First Select card, which offered 2% rewards on online transactions, will now offer only 1% rewards. The IDFC First Wealth card, which offered 3% rewards on international transactions, will now offer only 2% rewards.
The bank has also reduced the rewards earning rates on its lifetime-free credit cards, which were previously popular for their zero annual fees and attractive rewards. The IDFC First Lifetime Free card, which offered 1% rewards on all spends, will now offer only 0.5% rewards.
The changes to the rewards program are likely to affect the bank’s customer base, particularly those who have been using these cards for their rewards and benefits. The reduced rewards earning rates and caps on benefits may lead to a decrease in customer loyalty and retention. The bank may face competition from other credit card issuers that offer more attractive rewards programs.
It’s worth noting that the bank has not provided any official reason for the changes to its rewards program. However, it’s likely that the move is aimed at reducing costs and increasing profitability. The bank may be looking to optimize its rewards program to better align with its business goals and target customer segments.
Overall, the changes to IDFC First Bank’s credit card rewards program are significant and may have a negative impact on its customer base. Customers who have been using these cards for their rewards and benefits may need to reevaluate their credit card options and consider alternative cards that offer more attractive rewards programs.
IDFC FIRST Bank introduces a foreign currency savings account tailored for Non-Resident Indians (NRIs) operating in Gujarat International Finance Tec-City (GIFT City)
IDFC FIRST Bank has introduced a new savings account, the IDFC FIRST Global Savings Account, specifically designed for non-resident Indians (NRIs) in GIFT City, Gujarat. This account allows customers to hold and operate savings in foreign currencies, such as US dollars or euros, through the bank’s GIFT City banking unit. The account is distinct from the bank’s existing domestic and NRI savings accounts and caters to customers who prefer to manage their savings in foreign currencies.
The IDFC FIRST Global Savings Account offers several benefits, including full repatriation of principal and interest without restrictions, digital onboarding, and paperless international fund transfers from GIFT City to overseas accounts without any fees. The account also offers an interest rate of 4.75% on US dollar savings balances, with interest credited monthly. Customers can also place fixed deposits in US dollars or euros.
One of the key advantages of this account is that the interest earned is exempt from tax deduction at source (TDS) for NRIs, in line with applicable regulations for GIFT City accounts. Account holders can manage both their NRI banking and GIFT City accounts through a single mobile banking application and relationship management framework.
The launch of this account is aimed at addressing the needs of NRIs who want to hold savings in foreign currencies while banking with India through a regulated international financial centre. GIFT City has emerged as a hub for banks to offer foreign currency accounts and cross-border financial services under a separate regulatory framework. Several Indian and international banks have expanded their presence in the centre to cater to global investors and overseas Indians.
According to Ashish Singh, Head of Retail Liabilities at IDFC FIRST Bank, the launch of the IDFC FIRST Global Savings Account is a significant step towards providing NRIs with a convenient and regulated platform to manage their foreign currency savings. The account is expected to attract NRIs who are looking for a hassle-free and tax-efficient way to manage their foreign currency savings while maintaining a connection with India.
Unlock lucrative investment opportunities with IDFC Infrastructure Development Finance Corporation, a global market leader, and discover high-yield investment strategies with expert insights from Bollywood Helpline.
IDFC Infrastructure Development Finance Corporation, also known as IDFC, is a leading Indian financial institution that specializes in infrastructure development and financing. The corporation has a significant influence on the global market, particularly in the infrastructure sector. With a strong presence in India, IDFC has expanded its operations to other countries, providing financial solutions and investments in various infrastructure projects.
As a global market player, IDFC has been involved in numerous high-profile infrastructure projects, including roads, bridges, ports, and energy generation. The corporation’s expertise in project financing, debt financing, and equity investments has made it a preferred partner for governments, corporations, and investors. IDFC’s global market influence can be seen in its ability to attract foreign investments, promote economic growth, and create employment opportunities in the infrastructure sector.
For investors looking for high-profit investment ideas, IDFC offers a range of opportunities. The corporation’s infrastructure funds, which focus on investing in Indian infrastructure projects, have generated significant returns for investors. Additionally, IDFC’s expertise in renewable energy, particularly in solar and wind power, provides a lucrative investment opportunity for those looking to capitalize on the growing demand for clean energy.
Some of the high-profit investment ideas in IDFC include:
1. Infrastructure Funds: IDFC’s infrastructure funds invest in a range of infrastructure projects, including roads, bridges, and energy generation. These funds offer a relatively stable and high-return investment opportunity.
2. Renewable Energy: IDFC’s expertise in renewable energy, particularly in solar and wind power, provides a lucrative investment opportunity for those looking to capitalize on the growing demand for clean energy.
3. Project Financing: IDFC’s project financing arm provides loans to infrastructure projects, offering investors a high-return investment opportunity with relatively low risk.
4. Equity Investments: IDFC’s equity investments in infrastructure companies offer a high-growth investment opportunity for those looking to capitalize on the growing demand for infrastructure services.
Overall, IDFC’s global market influence and high-profit investment ideas make it an attractive option for investors looking to capitalize on the growing demand for infrastructure development and financing. With its expertise in project financing, debt financing, and equity investments, IDFC is well-positioned to provide investors with significant returns on their investments. As the demand for infrastructure development continues to grow, IDFC is likely to remain a major player in the global market, providing investors with a range of high-profit investment opportunities.
IDFC FIRST Bank Bolsters Cybersecurity Capabilities with the Appointment of Samarjit Roy Choudhury as Head of Infrastructure Security and Compliance
IDFC FIRST Bank has appointed Samarjit Roy Choudhury as its new Head of Infrastructure Security & Compliance, a key leadership position aimed at strengthening the bank’s digital security and governance frameworks. In this role, Samarjit will oversee security architecture, compliance structures, and infrastructure risk management, further advancing the bank’s mission to build a resilient and secure digital ecosystem. This appointment comes at a time when financial institutions are rapidly scaling their digital capabilities, requiring robust controls to safeguard customer trust and ensure stability.
Samarjit brings extensive experience in cybersecurity, having held senior roles at Jio Platforms Limited (JPL) and Standard Chartered. At JPL, he led large-scale cybersecurity initiatives involving cloud security, threat intelligence, and next-generation defense systems. At Standard Chartered, he was responsible for global cybersecurity programs, designing enterprise-wide protection models and ensuring compliance across regulatory environments. His experience has given him a multidimensional understanding of securing complex digital infrastructures and navigating security challenges in highly regulated financial ecosystems.
Samarjit’s background also includes ten years of service with the Indian Air Force, where he worked in mission-critical security environments and cyber operations. This experience has shaped his disciplined approach to risk management, preparedness, and operational resilience, attributes crucial for safeguarding modern banking systems. With this appointment, IDFC FIRST Bank underscores its focus on reinforcing trust, safety, and transparency across its expanding digital landscape.
Samarjit’s diverse experience across telecommunications, global banking, and defense brings a powerful combination of technical depth and strategic vision. His leadership is expected to accelerate the bank’s efforts to build a security-first culture and ensure robust protection for customers, partners, and stakeholders in an increasingly digital financial world. The bank aims to enhance its ability to proactively address emerging cyber threats, adapt to evolving compliance requirements, and maintain the highest standards of security governance. Overall, Samarjit’s appointment is a significant step towards bolstering IDFC FIRST Bank’s digital security posture and enhancing its governance frameworks.
IDFC First Bank Set to Meet with Investors at Citi’s Upcoming India Financials Tour in 2025, as Reported by TipRanks
IDFC First Bank has announced that it will be participating in Citi’s India Financials Tour 2025, a prominent investor conference. The event provides a platform for Indian financial institutions to engage with global investors, showcasing their growth strategies, financial performance, and future prospects.
During the conference, IDFC First Bank’s management team, led by its CEO, will interact with investors, analysts, and other stakeholders to discuss the bank’s vision, business plans, and financial goals. The bank aims to highlight its achievements, address investor queries, and provide insights into its growth trajectory.
IDFC First Bank has been focusing on expanding its retail banking operations, improving its digital infrastructure, and enhancing customer experience. The bank has made significant progress in reducing its net non-performing assets (NPAs) and improving its capital adequacy ratio. It has also been investing in technology to enhance its digital capabilities and improve operational efficiency.
The bank’s participation in Citi’s India Financials Tour 2025 is expected to help increase its visibility among global investors, providing an opportunity to showcase its strengths and growth potential. The event will also enable the bank to gather feedback from investors and analysts, which can help refine its strategies and improve its overall performance.
Citi’s India Financials Tour 2025 is a significant event in the Indian financial calendar, attracting participation from leading Indian banks, non-banking financial companies (NBFCs), and other financial institutions. The conference provides a platform for investors to engage with Indian financial companies, gain insights into the country’s financial sector, and identify potential investment opportunities.
IDFC First Bank’s participation in the event demonstrates its commitment to engaging with investors and stakeholders, providing transparency, and showcasing its growth potential. The bank’s management team is expected to provide updates on its business plans, financial performance, and future prospects, which can help investors make informed decisions.
Overall, IDFC First Bank’s participation in Citi’s India Financials Tour 2025 is a positive development, highlighting the bank’s efforts to engage with global investors, showcase its strengths, and demonstrate its commitment to transparency and growth. The event is expected to provide valuable insights into the bank’s strategies and prospects, enabling investors to make informed decisions about their investments.
IDFC FIRST Bank introduces its flagship credit card, FIRST WOW! Black, offering a luxurious experience with zero foreign transaction fees and seamless UPI transactions
IDFC FIRST Bank has launched the FIRST WOW! Black Credit Card, an upgraded version of its existing FIRST WOW! Credit Card, which is backed by a fixed deposit. The card is designed to provide premium benefits at an accessible price point. The key features of the card include zero forex markup on international spends, a dual card with Mastercard and RuPay UPI, and rewards on UPI spends. Cardholders will receive a physical Mastercard and a UPI-enabled RuPay virtual credit card, both linked to the same account with a unified credit limit and a single consolidated statement.
The card offers several benefits, including 4 reward points per ₹150 on everyday spends, 3 reward points per ₹150 on eligible UPI spends above ₹2,000, and 50 bonus reward points per ₹150 on hotel bookings. Additionally, cardholders will receive 4 domestic lounge access per year, free trip cancellation cover of up to ₹10,000, and a 25% discount on movie tickets. The card also offers a comprehensive insurance cover, including personal accident cover of up to ₹2 lakh and lost card liability up to ₹25,000.
The card is priced at ₹750 + GST, with an annual fee of ₹750 + GST that can be waived on achieving annual spends of ₹1,50,000. The card offers welcome benefits worth over ₹5,000, including travel discounts, premium dining access, and lifestyle offers. IDFC FIRST Bank’s Head of Credit Cards, Shirish Bhandari, stated that the card is designed to provide more value, more travel capability, and more everyday utility, while making premium and aspirational privileges accessible to a broader audience.
The IDFC FIRST Bank FIRST WOW! Black Credit Card is available for applications on the bank’s website, with an entire digital application process that requires no paperwork. The card can be availed against an FD of ₹20,000, and is open to all applicants aged 18 and above. The bank aims to provide great financial products that are enabling and accessible to all, rather than exclusive. With the launch of the FIRST WOW! Black Credit Card, IDFC FIRST Bank is reinforcing its commitment to providing customer-friendly banking services and making premium benefits accessible to a wider audience.
IDFC FIRST Bank unveils an enhanced edition of its fixed deposit-linked credit card
IDFC FIRST Bank has launched an upgraded version of its “FIRST WOW! Credit Card”, which is backed by a fixed deposit (FD) of at least ₹20,000. The card is available to all applicants aged 18 and above. The upgraded card offers several benefits, including zero foreign exchange markup on international transactions, a dual card with Mastercard and RuPay UPI, and rewards on UPI spends. Additionally, cardholders will receive trip protection and other benefits.
One of the key features of the card is that it comes with a physical Mastercard and a UPI-enabled RuPay virtual credit card, both of which are linked to the same account with a unified credit limit and a single consolidated statement. This allows cardholders to use their card for both online and offline transactions, as well as for UPI payments.
As of September 2025, IDFC FIRST Bank had 40 lakh credit cards in force, with an outstanding book of ₹8,638 crore, which accounts for 3% of the bank’s loan book. The bank has seen significant improvement in its credit card business, with the cost-to-income ratio decreasing from 240% in FY22 to 96% in H1 FY26. The bank expects this ratio to further decrease to 75% by FY27 as the business scales up.
The launch of the upgraded “FIRST WOW! Credit Card” is part of IDFC FIRST Bank’s efforts to expand its credit card business and offer more benefits to its customers. With its zero foreign exchange markup and rewards on UPI spends, the card is likely to appeal to customers who frequently travel abroad or make online transactions. The bank’s focus on improving its credit card business is expected to contribute to its overall growth and profitability in the coming years. Overall, the upgraded “FIRST WOW! Credit Card” offers a range of benefits and features that make it an attractive option for customers looking for a convenient and rewarding credit card experience.
IDFC First Bank’s Gaura Sengupta predicts a potential slowdown in the rupee’s depreciation in the fourth quarter, offering some relief from recent pressure.
The Reserve Bank of India (RBI) is facing a dilemma, known as the “impossible trinity,” where it must choose between maintaining a stable currency or implementing effective monetary policy. According to economist Sengupta, the RBI has wisely chosen to prioritize monetary policy, allowing the rupee to depreciate rather than intervening heavily to prop up its value. This approach has several benefits, including reducing the strain on foreign exchange reserves and maintaining liquidity in the domestic banking system.
When the RBI intervenes to buy rupees, it absorbs liquidity from the system, which can have negative consequences. By not intervening as much, the RBI is able to preserve its freedom to implement monetary policy as needed. This approach is also sustainable in the long term, as the RBI has limited resources and cannot indefinitely support the currency. The pace of depreciation, which has been around 5% year-on-year, suggests that the RBI is allowing the rupee to adjust to market forces.
The RBI’s intervention strategy is also constrained by its limited toolkit. Last year, the rupee was one of the most stable currencies globally, thanks to the RBI’s intervention. However, this came at a cost, as the central bank built up a large short-dollar forward book, which can be used to sterilize intervention in spot markets. This year, the RBI does not have the same level of forward book, limiting its ability to intervene in the currency market.
Overall, the RBI’s approach to managing the rupee’s depreciation is pragmatic and recognizes the limitations of its resources. By prioritizing monetary policy and allowing the currency to adjust to market forces, the RBI is taking a sustainable and long-term view. While the rupee’s depreciation may be a short-term concern, the RBI’s approach is likely to benefit the economy in the long run by preserving its ability to implement effective monetary policy and maintaining stability in the financial system.
HUDCO and IDFC Foundation Ink Three-Year Memorandum of Understanding to Enhance Capacity Building in India’s Urban Development Sector
The Housing and Urban Development Corporation Ltd. (HUDCO) has signed a non-binding Memorandum of Understanding (MoU) with the IDFC Foundation to collaborate on capacity development initiatives for India’s urban sector. The MoU, signed on November 21, 2025, is valid for three years and aims to enhance technical, financial, and leadership capacities across institutions involved in urban development. This partnership aligns with national efforts to support and streamline the implementation of key urban programs and schemes.
The collaboration will contribute to HUDCO’s Urban Invest Window (UiWIN), a platform designed to facilitate investment and support sustainable solutions in the urban sector. The MoU outlines a framework for both organizations to work together on various initiatives, including training programs, research collaborations, advisory services, and targeted capacity-building efforts. These activities will engage a broad spectrum of stakeholders, such as central and state government bodies, urban local bodies, academic and training institutions, private sector partners, and civil society organizations.
By fostering cooperation between these groups, the partnership aims to create more resilient, inclusive, and well-governed urban environments across the country. The MoU was signed by M. Nagaraj, Director (Corporate Planning) at HUDCO, and Mr. Eby Thomas, Managing Director of IDFC Foundation, who both emphasized the potential of this collaboration in strengthening institutional capabilities and guiding India toward a more sustainable urban development trajectory.
HUDCO is a Government of India public sector undertaking under the Ministry of Housing and Urban Affairs, established to promote sustainable habitat development. The organization provides financial assistance, consultancy services, and capacity-building support across the housing and urban infrastructure sectors. With this partnership, HUDCO and IDFC Foundation aim to support national urban development goals and enable inclusive growth across Indian cities and towns.
The partnership is expected to have a significant impact on India’s urban sector, with a focus on creating sustainable and resilient urban environments. The collaboration will also contribute to the development of UiWIN, which aims to facilitate investment and support sustainable solutions in the urban sector. Overall, the MoU between HUDCO and IDFC Foundation is a significant step towards strengthening India’s urban sector and promoting sustainable development.
Financial strain and deteriorating loan portfolios threaten the stability of small microfinance institutions
India’s microfinance sector is facing a severe crisis, with at least half a dozen companies defaulting on bank loans due to asset quality stress and funding crunch. These companies, including VFS Capital, Navachetana Microfin Services, and Arth Finance, are struggling to survive due to a liquidity crunch and difficulties in operating without institutional funding support. The sector’s stress began building in April last year, after a brief revival from the pandemic, and has resulted in a significant increase in late-stage portfolios at risk, with a surge to 15.32% at the end of the September quarter.
The micro-loan market has contracted to ₹3.46 lakh crore, registering a 17% year-on-year drop, with a near 20% fall in the number of active loans to 132 million. Listed microfinance firms, such as Fusion Finance and Spandana Sphoorty Financial, have suffered net losses in the second quarter, extending the run of negative earnings they reported over the past several quarters. Mainstream lenders, including Bandhan Bank, IndusInd Bank, IDFC First Bank, and RBL Bank, have also encountered profitability hits due to the stress in their microfinance portfolios.
VFS Capital, which has a cumulative exposure of ₹143 crore toward five lenders, failed to meet its repayment commitments, with a total overdue amount of ₹82 crore. The company had applied for a small finance bank licence from the Reserve Bank of India (RBI) in January but withdrew it last month after its financial condition worsened. Other affected lenders, including Bank of Maharashtra and IDBI Bank, have told VFS to submit financial statements and a certified book debt statement for the quarters ended June and September.
The situation is similar for Navachetana Microfin Services, which has delayed debt servicing since April and submitted a debt restructuring plan to lenders with the proposal to repay the dues in the next seven years. Some of the company’s loans from banks have already turned into non-performing assets (NPAs) by legal definition. Lenders to these entities have suggested forensic audits to determine the cause of the default and to consider restructuring of bank accounts.
Sectoral leaders are calling for financial institutions to become more lenient while lending to smaller microfinance entities and are expecting the government to consider a proposal to provide a guarantee fund for the microfinance sector. Without institutional funding, several other small lenders are likely to be on the brink of default very soon. The government guarantee programme can facilitate lending to these entities and help them overcome the current liquidity crisis.
BCCI Reveals India’s U19 Teams for Upcoming IDFC FIRST Bank Triangular Series in Bengaluru
The Junior Cricket Committee has announced the squads for the India A U19 and India B U19 teams that will participate in the IDFC FIRST Bank U19 Triangular Series. The tournament will be held at the BCCI Centre of Excellence in Bengaluru from November 17 to 30. The two Indian teams will be joined by Afghanistan U19 as the third participating team in the competition.
The India U19 A squad will be led by Vihaan Malhotra, with Abhigyan Kundu serving as the vice-captain and wicket-keeper. The team includes players from various state cricket associations, including Punjab, Hyderabad, and Gujarat. The India U19 B squad, on the other hand, will be captained by Aaron George, with Vedant Trivedi as the vice-captain. This team also features players from different state cricket associations, including Hyderabad, Gujarat, and Tamil Nadu.
Notably, Ayush Mhatre was not considered for selection as he is currently playing in the Ranji Trophy, while Vaibhav Sooryavanshi is unavailable due to his selection for the India A squad for the ACC Rising Stars Asia Cup. The tournament schedule has been released, with the first match between India U19 A and India U19 B taking place on November 17. The final match will be played on November 30.
The U19 Triangular Series will provide a platform for young cricketers to showcase their skills and gain experience in a competitive environment. The tournament will feature a total of seven matches, with each team playing the other two teams twice before the final match. The BCCI Centre of Excellence in Bengaluru will host all the matches, providing a world-class facility for the young cricketers to compete and develop their skills. The tournament is expected to be an exciting and closely contested event, with the top young talents from India and Afghanistan competing against each other.
Understanding Market Fragmentation: Implications for IDFC First Bank Limited’s Strategic Approach
Market Fragmentation and its Implications for IDFC First Bank Limited
The Indian banking sector is experiencing a phenomenon known as market fragmentation, where the market is divided into smaller segments, each with its unique characteristics and requirements. This trend has significant implications for banks, including IDFC First Bank Limited, which must adapt their strategies to remain competitive. In this article, we will explore what market fragmentation means for IDFC First Bank Limited’s strategy.
Understanding Market Fragmentation
Market fragmentation refers to the division of a market into smaller, distinct groups of consumers with specific needs and preferences. In the banking sector, this means that customers are no longer a homogeneous group, but rather a collection of diverse individuals and businesses with unique financial requirements. This fragmentation is driven by factors such as changing demographics, technological advancements, and shifting consumer behaviors.
Implications for IDFC First Bank Limited
For IDFC First Bank Limited, market fragmentation presents both opportunities and challenges. On the one hand, it allows the bank to target specific customer segments with tailored products and services, increasing the potential for growth and profitability. On the other hand, it requires the bank to develop a deeper understanding of each segment’s needs and preferences, which can be a complex and resource-intensive process.
To respond to market fragmentation, IDFC First Bank Limited must adopt a segmented approach to its strategy. This involves identifying and prioritizing specific customer segments, developing targeted marketing campaigns, and creating products and services that meet the unique needs of each segment. The bank must also invest in digital technologies, such as data analytics and artificial intelligence, to better understand customer behavior and preferences.
Key Strategies for IDFC First Bank Limited
To succeed in a fragmented market, IDFC First Bank Limited should consider the following strategies:
- Segmentation: Identify and prioritize specific customer segments, such as retail, corporate, or small and medium-sized enterprises (SMEs).
- Targeted marketing: Develop marketing campaigns that resonate with each segment, using channels such as social media, digital advertising, and traditional media.
- Product innovation: Create products and services that meet the unique needs of each segment, such as customized loan products or specialized banking services for SMEs.
- Digital transformation: Invest in digital technologies, such as data analytics and artificial intelligence, to better understand customer behavior and preferences.
- Partnerships and collaborations: Collaborate with fintech companies, startups, and other organizations to leverage their expertise and reach new customer segments.
By adopting a segmented approach to its strategy, IDFC First Bank Limited can navigate the challenges of market fragmentation and capitalize on the opportunities it presents. By understanding the unique needs and preferences of each customer segment, the bank can develop targeted products and services that meet their requirements, driving growth, profitability, and customer satisfaction.
ET Startup Awards 2025: IDFC First Bank CEO emphasizes the necessity of broadening the funding landscape for startups
The Indian startup ecosystem is facing a significant challenge in terms of accessing capital, according to V Vaidyanathan, the chief executive and managing director of IDFC First Bank. Speaking at the ET Startup Awards, Vaidyanathan expressed concern over the low funding rate for new ventures, stating that even the most innovative ideas are failing due to lack of adequate financial backing. He cited a disturbing conversion rate of only 40-50 startups receiving financing out of approximately 1,000 that pitch to venture capital firms.
Vaidyanathan emphasized the need to expand the availability of capital for Indian startups, highlighting the huge potential for disruption, particularly from campuses and tier-2 and -3 cities. He suggested that entities such as colleges, which are currently unable to invest in venture capital funds due to their not-for-profit status, be permitted to do so to expand the pool of capital. This, he believes, would help to address the funding gap and provide more opportunities for innovative ideas to flourish.
India’s startup ecosystem has been thriving in recent years, with the government playing a significant role in improving the country’s global image. However, Vaidyanathan believes that more needs to be done to support the growth of startups, particularly in terms of access to capital. IDFC First Bank is working on developing a technology stack to cater to the needs of Indian startups, which is a positive step towards addressing the funding gap.
Overall, Vaidyanathan’s comments highlight the urgent need for increased access to capital for Indian startups. With the right support and funding, India’s startup ecosystem has the potential to drive innovation and growth, creating new opportunities for entrepreneurs and businesses across the country. By expanding the pool of capital and providing more opportunities for funding, India can unlock the full potential of its startup ecosystem and cement its position as a hub for innovation and entrepreneurship.
IDFC First Bank’s upgraded quality grade is a testament to its robust financial health and impressive asset management capabilities.
IDFC First Bank has demonstrated strong financial performance over the past five years, with significant growth in net interest income and net profit. The bank’s net interest income has grown by 27.03% and its net profit has grown by 25.09% over the same period. This growth is a testament to the bank’s robust lending capacity and effective asset management. The bank’s advance-to-deposit ratio stands at 102.54%, indicating a healthy balance between lending and deposit-taking activities.
The bank’s capital adequacy ratio is 13.96%, which is a key indicator of its financial health and ability to absorb potential losses. This ratio suggests that the bank has a solid foundation to withstand any potential shocks. Additionally, the bank’s gross non-performing assets (NPA) ratio is 1.86%, which is significantly lower than the industry average of 2.67%. This low NPA ratio reflects the bank’s effective asset quality management and its ability to manage risk.
In terms of market performance, IDFC First Bank has outperformed the Sensex over various time frames. The bank’s year-to-date return is 25.11%, compared to the Sensex’s 8.21%. This outperformance highlights the bank’s competitive position within the industry and suggests that it is well-positioned for future growth. However, there are areas for improvement, particularly in terms of operational efficiency. The bank’s average coverage ratio is 66.81% and its cost-to-income ratio is 72.54%, which suggest that there is room for improvement in terms of managing costs and improving profitability.
Overall, IDFC First Bank’s strong financial performance, solid capital adequacy ratio, and low NPA ratio suggest that it is a well-managed and financially healthy bank. Its outperformance of the Sensex and its competitive position within the industry make it an attractive option for investors. However, the bank must continue to focus on improving operational efficiency and managing costs to sustain its growth and profitability over the long term. With its robust financial metrics and competitive position, IDFC First Bank is poised for continued success and growth in the private sector banking industry.
Ten major banks are set to unveil their Q2 financial reports this Saturday, October 18, offering a glimpse into their performance.
On October 18, 10 banks in India, including both private and public sector lenders, are set to announce their September quarter earnings. The list of banks includes HDFC Bank, ICICI Bank, YES Bank, Punjab National Bank, IDFC First Bank, IndusInd Bank, IDBI Bank, The Federal Bank, RBL Bank, and J&K Bank. Other notable companies that will announce their Q2 earnings are UltraTech Cement, UTI AMC, SML Isuzu, and Can Fin Homes.
Analysts expect the Q2 earnings for India Inc. to rebound after a muted Q1, supported by a mix of cyclical and structural factors. The financial sector is expected to be a key driver of overall earnings growth. Banks and non-banking financial companies (NBFCs) are benefiting from steady credit demand across retail, agriculture, and MSME segments, while asset quality has remained stable. Despite slight pressure on net interest margins, profitability is being supported by healthy loan growth, controlled slippages, and recoveries from past stressed accounts.
In terms of asset quality, analysts expect a comfortable outcome for large banks, with private banks appearing to be more comfortable lending aggressively in unsecured segments such as credit card and personal loans. Mid-size banks are expected to see improvement in microfinance asset quality, although credit costs will remain elevated. The focus will be on forward flows in early delinquency buckets and X bucket collection efficiency.
Regarding margins, most analysts believe that margins have bottomed out in Q2FY26, but the decline will be limited for mid-size banks. Public sector banks are expected to witness relatively lower QoQ margin decline, while large private banks are expected to see a sharper decline. The net interest margin (NIM) for Axis Bank, which has already announced its Q2 earnings, came in at 3.73% for the quarter. The bank reported a 26% decline in standalone net profit to ₹5,089.64 crore annually for the quarter ended September 2025.
Overall, the Q2 earnings announcements are expected to be closely watched by investors, with a focus on asset quality, margins, and profitability. The financial sector is expected to be a key driver of overall earnings growth, and the performance of the banks will be closely monitored.
AU Small Finance Bank Revises Valuation Following Shifts in the Competitive Banking Market
AU Small Finance Bank has recently undergone a valuation adjustment, providing insight into its current financial standing within the banking sector. The bank’s valuation metrics include a price-to-earnings (PE) ratio of 26.40 and a price-to-book value of 3.38. The PE ratio indicates the market’s expectation of the bank’s future earnings, while the price-to-book value reflects the bank’s net asset value. The bank’s PEG ratio, which takes into account its growth prospects, is recorded at 0.98, suggesting a balanced growth perspective relative to its earnings.
In terms of profitability, AU Small Finance Bank has demonstrated a return on equity (ROE) of 12.82% and a return on assets (ROA) of 1.38%. These metrics indicate the bank’s ability to generate profits from its equity and assets. The net non-performing assets (NPA) to book value ratio, which stands at 5.70%, provides insight into the bank’s asset quality. A lower NPA ratio generally indicates better asset quality, while a higher ratio may suggest potential problems with loan defaults.
When compared to its peers, AU Small Finance Bank’s valuation metrics present a mixed picture. For instance, Yes Bank has a PE ratio of 27.04, which is slightly higher than AU Small Finance Bank’s ratio. On the other hand, IDFC First Bank has a significantly higher PE ratio of 45.45, indicating a more premium valuation. IndusInd Bank and Federal Bank also have different valuation dynamics, reflecting the competitive environment in the midcap banking sector.
Overall, the valuation adjustment highlights AU Small Finance Bank’s financial metrics and market position amidst its peers. The bank’s relative standing in the industry is showcased through its valuation metrics, profitability, and asset quality. While the bank’s valuation metrics are competitive, its profitability and asset quality metrics suggest a stable financial position. As the banking sector continues to evolve, AU Small Finance Bank’s ability to maintain its financial performance and navigate the competitive landscape will be crucial to its long-term success.
From festive Diwali deals to ambitious Aatmanirbhar aspirations, GST 2.0 is paving the way for a seismic global economic transformation – tune in to IDFC First Bank presents Network18 Reforms Reloaded to uncover the next chapter in India’s reform saga and discover the trajectory of the country’s future growth
The landscape of India’s economy is undergoing significant changes, with the introduction of GST 2.0 being a pivotal moment in the country’s reform story. This overhaul of the Goods and Services Tax is not just a domestic policy adjustment but has far-reaching implications that could potentially trigger a global economic shift. As the world watches, India is poised to take a giant leap forward, leveraging its economic reforms to catapult itself into a prominent position on the global stage.
One of the most immediate and visible impacts of GST 2.0 is the boost it gives to consumer spending, particularly around festivals like Diwali. The discounts and promotions that come with the season are not just a testament to the consumerist culture of the country but also an indicator of how policy changes can directly influence everyday life. Beyond the ephemeral nature of festive sales, however, lies a more profound aspiration – the dream of Aatmanirbhar Bharat, or a self-reliant India.
Aatmanirbhar Bharat is more than a slogan; it represents a comprehensive strategy aimed at reducing India’s dependence on foreign economies, promoting domestic industries, and creating a robust manufacturing sector that can compete globally. The GST 2.0 is a critical component of this vision, as it streamlines tax structures, reduces compliance burdens, and makes Indian businesses more competitive in the international market.
As India embarks on this ambitious journey, the need for informed discussion and strategic planning becomes paramount. It is against this backdrop that initiatives like IDFC First Bank presents Network18 Reforms Reloaded gain significance. This platform offers a space for thought leaders, policymakers, and industry experts to come together and explore the nuances of India’s economic reforms. By delving into the intricacies of GST 2.0 and its potential to drive growth, these discussions can provide valuable insights into where India’s growth is headed.
The global economic landscape is at a crossroads, with challenges such as recession fears, trade wars, and geopolitical tensions. In this context, India’s economic reforms, including GST 2.0, are not just about domestic development but also about positioning the country as a stable and attractive destination for foreign investment. As the world looks towards emerging markets for growth, India’s ability to leverage its reforms to achieve sustainable and inclusive development will be closely watched.
In conclusion, GST 2.0 and the broader vision of Aatmanirbhar Bharat are key to understanding India’s current economic trajectory. With its potential to boost consumer spending, enhance business competitiveness, and contribute to global economic shifts, this story of reform is one that will unfold with considerable interest from both domestic and international observers. As we navigate the complexities of these changes, staying informed through platforms like Reforms Reloaded will be essential in grasping the future of India’s growth story.