Yes Bank

Yes Bank has introduced a specialized salary account designed exclusively for working women, marking a strategic step toward advancing financial inclusion and tailored banking services in India. The initiative aims to provide women professionals with customized financial benefits, lifestyle privileges, and enhanced security features that address their evolving banking needs. By combining traditional salary account features with value-added services, the bank seeks to empower female employees across sectors with better financial management tools and exclusive offers.

Yes Bank has initiated a review after reports of unauthorised transactions involving certain forex cards surfaced among customers. The lender said it is working to identify the root cause, contain any potential exposure and strengthen monitoring systems. While the bank has not indicated any systemic breach, the episode underscores the growing risks associated with cross-border digital payments.

YES Bank has set an ambitious target of achieving a 1% return on assets (ROA) by FY26, signaling confidence in its ongoing turnaround strategy. The bank’s CFO highlighted efforts to optimize credit growth, improve asset quality, and enhance cost efficiency as key levers to reach this benchmark. Analysts note that the focus on sustainable profitability, disciplined risk management, and digital transformation underpins the bank’s medium-term strategy.

YES Bank reported a sharp improvement in profitability for the third quarter, with net profit rising 55% year-on-year, driven primarily by a significant reduction in credit provisions. The performance highlights the bank’s continued progress in stabilizing asset quality and strengthening its balance sheet after years of financial stress. Improved recoveries, controlled slippages and steady core income supported earnings during the period. While revenue growth remained measured, the decline in provisioning costs provided meaningful relief to the bottom line.

Yes Bank reported a 18.3% year-on-year rise in net profit for the second quarter of FY2024–25, reaching Rs. 654 crore, driven by strong growth in retail and SME lending, improved fee-based income, and disciplined cost management. The private sector lender maintained robust asset quality and strengthened provisioning buffers, reflecting prudent risk management. Analysts highlight that digital initiatives and expanding customer engagement contributed to operational efficiency, supporting profitability.

State Bank of India (SBI) has divested a significant portion of its stake in Yes Bank, raising Rs. 8,889 crore through a strategic transaction with Japan’s Sumitomo Mitsui Banking Corporation (SMBC). The move underscores SBI’s ongoing efforts to streamline its portfolio, unlock value, and maintain a sharper focus on its core operations. For SMBC, the investment highlights growing foreign institutional interest in India’s banking sector, particularly in private lenders undergoing turnaround strategies.

Sumitomo Mitsui Banking Corporation (SMBC), one of Japan’s leading financial institutions, has finalized the acquisition of a 20% equity stake in Yes Bank. The move marks a significant step in deepening bilateral financial cooperation between India and Japan while strengthening Yes Bank’s capital base and growth prospects. The strategic partnership is expected to provide Yes Bank with enhanced global expertise, improved governance standards, and greater access to international markets, while SMBC gains a stronger foothold in one of the world’s fastest-growing banking sectors.

In a landmark development in India’s banking sector, the State Bank of India (SBI) has sold a 13.18% stake in Yes Bank to Japan’s Sumitomo Mitsui Banking Corporation (SMBC) for Rs. 8,889 crore. The divestment, executed at Rs. 21.50 per share, transfers 413.44 crore shares to SMBC, which now emerges as the single-largest shareholder in Yes Bank. With this move, SBI trims its holding to 10.8%, signaling a strategic shift away from its earlier rescue role in the private lender.

The Reserve Bank of India (RBI) has formally approved significant board changes at Yes Bank, signaling renewed regulatory confidence in the lender’s governance framework. The approvals include appointments and reappointments of key directors and executives aimed at reinforcing strategic oversight, risk management, and financial stability. This development comes at a crucial time as the bank continues its post-recapitalization growth trajectory, balancing asset quality improvement with expansion objectives.

The Reserve Bank of India (RBI) has approved the reappointment of R. Gandhi as non-executive part-time chairman of Yes Bank, reinforcing continuity in the lender’s governance framework. Gandhi, a former deputy governor of the central bank, has been a critical figure in stabilizing the bank’s board and guiding it through regulatory reforms. His renewed term reflects RBI’s confidence in his stewardship, particularly at a time when the financial sector faces heightened scrutiny.