According to reports from Business Standard, IndusInd Bank has unveiled a comprehensive 3-year strategic roadmap under the leadership of MD & CEO Rajiv Anand, who took charge in August 2025. The bank is entering its "next chapter with stronger foundations, clearer priorities, a leadership team aligned on execution, and a sound capital and liquidity position," signalling a shift from institutional rebuilding to sustainable growth. The roadmap comes after a year of deliberately prioritising balance sheet strengthening, governance improvements, and risk management over business growth expansion.
As reported by Business Standard, the bank's strategy is structured into three distinct phases. Phase 1 focuses on restoring the franchise to industry-aligned growth while achieving an exit return on assets (RoA) of 1 per cent in FY27. Phase 2 will concentrate on scaling business and accelerating growth momentum, while Phase 3 is designed to deliver outperformance by building leadership positions across selected business segments. The bank expects to return to calibrated growth in businesses that experienced slowdown during the clean-up phase, with Anand noting that "FY27 will be a year of calibrated growth rather than a contraction in micro loans."
According to Business Standard, the next phase of growth will be guided by the bank's P.A.C.E. framework - Protect the Endowments, Accelerate Key Priorities, Customer Centricity and Execution Excellence. Under this strategy, IndusInd Bank plans to strengthen its core vehicle finance, rural banking and corporate banking franchises, scale granular deposits, expand retail and SME lending while leveraging digital capabilities and artificial intelligence to improve customer experience and operational efficiency. Anand emphasized that the bank's investments in AI, data architecture and digital capabilities would complement rather than replace banking fundamentals, with responsible use being non-negotiable.
As reported by Business Standard, the bank has optimized its balance sheet by shedding inefficient assets, improving underwriting standards and adopting a risk-adjusted approach to capital allocation. Anand stated that the rebuilding exercise has focused as much on governance as on business fundamentals, with the bank strengthening governance and oversight, refreshing leadership across the organization, reinforcing risk and compliance practices, and placing greater emphasis on asset quality, capital, liquidity, and customer trust. These measures have enhanced the quality and durability of the franchise, though they moderated growth and impacted profitability in the near term.
