The RBI said Kotak Mahindra Bank was found to be non-compliant with the corrective action plans issued for 2022-23. The lender lacks ‘robust IT infrastructure and IT Risk Management framework’, and its online and digital banking channels have suffered frequent outages in the last two years
Kotak Mahindra Bank Share Price: The company's shares dropped 9.7 per cent to 1,665 rupees in pre-open trade, the lowest since March 2023. The shares of banking major are trading 183.05 points, or 9.93 per cent lower at 1,659.75 per equity share on NSE.
Kotak Mahindra Bank s shares plunged 12% to Rs 1,620 after RBI halted new customer onboarding and credit card issuance. Brokerages slashed target prices due to concerns over online channel reliance and potential long-term growth impact.
Kotak Mahindra Bank was aggressively growing its credit card business over the past few years, while it also amassed significant number of customers on the back of its 811 digital strategy.