HDFC Bank- HDFC deal, a merger that will leave India s banks gasping financialexpress.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from financialexpress.com Daily Mail and Mail on Sunday newspapers.
The fast-growing consuming class in India is witnessing the birth of a digital lending powerhouse in the form of a homegrown Ant Group, being set up by the countrys wealthiest tycoon. These disruptions are the result of the bigger consuming class that finance has helped create, but their sustainability is yet to be tested. Among the potential issues creating instability in the banking sector is the skewered nature of individual savings skewed towards the top earners, heaping pressure on cash-strapped lenders. Higher interest rates mean paying more to lenders for mortgages and other consumer credit.
The merger between HDFC Bank and Housing Development Finance Corporation (HDFC) will create a financial powerhouse and position the merged entity among the world s most valuable banks. With an estimated market capitalisation of $172 billion, the combined bank will claim the fourth spot globally, trailing only JPMorgan Chase, Industrial and Commercial Bank of China and Bank of America.