The bank's management has previously stated its intention to grow advances at a slower pace than deposits it aims to pursue profitable growth without sacrificing asset quality and reduce its elevated credit-deposit (CD) to pre-merger levels.

HDFC Bank Ltd., India’s largest private lender, second-quarter profit came ahead of analysts’ expectations helped by strong growth in deposits and loans.

HDFC Bank, India's largest private lender, aims to lower its loan-to-deposit ratio (LDR) to pre-merger levels in the next two to three years, its chief financial officer said on Saturday. The bank's LDR was at around 86-87% prior to its merger with parent Housing Development Finance Corporation in July 2023,

The bank’s CD ratio had jumped from 86-87% earlier to 110% following the amalgamation of erstwhile parent HDFC Ltd effective July 2023. The ratio is currently at around 100%.