RBI relaxation on credit card ban: MD says HDFC Bank will be aggressive to win lost mkt share

HDFC Bank’s managing director and chief executive Sashidhar Jagdishan on Wednesday said the lender will be aggressive and ‘come back with a bang’ as it seeks to win back lost market share in the credit card segment.

“With the lifting of the restriction on cards acquisition, all the preparations and strategising that we have put in place to come back with a bang will now be rolled out,” Mr. Jagdishan said in an email to more than 1.2 lakh employees of the largest private sector lender.

Conceding that the bank had lost customer market share in the more than nine months of the ban, Mr. Jagdishan said HDFC Bank would go aggressively to the market with existing products and unveil new ones in the form of co-brands and partnerships.

“I am confident that we will regain and grow our customer market share and revenue market share in the time to come,” the MD said. “We have the resources and plans in place to further reinforce our pole position in the credit card segment,” he added.

The RBI on Tuesday partially lifted the ban on issue of new credit cards imposed on the bank in December last year after repeated instances of technology outages but continued with the restrictions on the new launches on the digital front.

On the restrictions on digital continuing, Mr. Jagdishan said the bank would continue to engage and ensure full compliance.

HDFC Bank on Wednesday said the Reserve Bank of India had lifted the restriction placed on the bank to issue new credit cards.

“We thank the regulator for this. The board has taken note of the same and the bank is committed to full compliance of the regulatory directions,” the lender said in a statement.

“We also convey our heartfelt gratitude to our customers for the trust and faith they reposed on us, particularly during the past few months,” HDFC Bank said.

“As stated earlier, all the preparations and strategies that we have put in place to ‘come back with a bang’ on credit cards will be rolled out in the coming time,” the lender added.

“The restrictions on all new launches of the digital business generating activities planned under Digital 2.0 will continue till further review by the regulator. We will continue to engage with the regulator and ensure compliance on all parameters,” HDFC Bank said.

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