Rate Cut, Growth Spurt: Axis Bank CEO Sees Credit Surge on RBI’s Signal

Axis Bank Managing Director Amitabh Chaudhry has welcomed the Reserve Bank of India's recent rate cut as a timely one to support credit demand and economic momentum. In a series of interviews, he discussed how the easing cycle can reshape India's financial landscape.

Growth Forecast

India's growth story remains strong despite global headwinds, with Chaudhry asserting geopolitical tensions and trade dislocations have had little local impact.

He anticipates the RBI rate cut to be the stimulus for credit growth in subsequent quarters.

Credit-Deposit Dynamics

As credit offtake increases, deposit growth will be similar, enabling banks to handle liquidity better.

Axis Bank is confronting deposit-side issues with product innovation and strategic efforts.

Competitive Landscape

The coming of Japanese banks to India is perceived as a sign of faith in India's long-term future.

Chaudhry downplayed competitive concerns, stating that India's advanced market calls for deep domestic expertise.

Entrepreneurial Pulse

He is positive about the spirit of entrepreneurship in India and believes that even if the traditional business clans shift their interest to investment, new entrepreneurs will emerge to drive growth and innovation.

Sources: Economic Times, Moneycontrol, CNBC TV18, Business Standard