Kotak Mahindra Bank has recommended two internal candidates to succeed Chief Executive Ashok Vaswani when his term ends next year. According to sources familiar with the matter reported by Reuters, the private lender has submitted the names of executive directors Anup Saha and Paritosh Kashyap to the Reserve Bank of India for approval. The current CEO's term concludes on December 31, 2026, with Vaswani citing personal reasons for not seeking reappointment. The banking rules require lenders to recommend at least two candidates for the CEO position, with the RBI having the authority to approve one name or seek alternatives if deemed unsuitable. As per Reuters, the bank aims to accelerate its growth momentum under new leadership, with the recommendation now moving the succession process to the regulatory stage.
Vaswani, a former Barclays and Citigroup banker, became CEO on January 1, 2024, succeeding founder Uday Kotak after over two decades. As reported by Reuters, Kotak's family remains the largest shareholder in the bank, owning 26% of the institution. The appointment will be closely watched as Kotak Mahindra Bank under Vaswani's leadership had set its sights on becoming India's third-largest private lender by after-tax profit. The succession process was triggered after Vaswani informed the board that he would not seek reappointment when his current term ends on December 31, 2026. Vaswani's exit means Kotak Mahindra Bank is preparing for its second CEO transition in three years, with the next CEO expected to build on the bank's growth momentum while managing the institution's retail and wholesale businesses.
Anup Saha currently heads Kotak Mahindra Bank's retail banking business and is a Whole-time Director on the bank's board. According to Reuters, Saha joined Kotak Mahindra Bank in January 2026 after a long stint at Bajaj Finance, where he was Managing Director and Deputy Managing Director. At Bajaj Finance, he oversaw consumer finance portfolios and worked on initiatives that expanded the company's customer base to over 100 million. Before Bajaj Finance, Saha spent 14 years at ICICI Bank, where he served as Senior General Manager and Group Product Head, managing businesses including retail home loans, vehicle loans, developer funding and credit cards. He has also held board positions at ICICI Bank HFC and TransUnion CIBIL, and began his career with roles at GE Capital, SBI Cards, Blow Plast and BHEL. Paritosh Kashyap is also a Whole-time Director at Kotak Mahindra Bank and has led the bank's wholesale banking business. As reported by Reuters, Kashyap previously served as Group President & Head of Wholesale Banking and is a Chartered Accountant who was recognised as "CA Business Leader" by the Institute of Chartered Accountants of India (ICAI) in 2024. He also serves as a Non-Executive Director on the boards of Kotak Mahindra Investments and Kotak Infrastructure Debt Fund.
Under Vaswani's leadership, Kotak Mahindra Bank has delivered healthy loan growth and maintained strong balance-sheet metrics. In Q1 FY27, net advances grew 15% YoY and deposits increased 12%, while the bank maintained a Net Interest Margin (NIM) of 4.53%, net NPA at 0.27% and CET-1 ratio at 22.6%. As reported by Reuters, the bank has significant surplus capital to deploy and is looking at both organic and inorganic growth opportunities. The next CEO will face the challenge of sustaining asset quality and profitability while putting Kotak's surplus capital to work and accelerating growth across retail and wholesale franchises. The bank has also been investing heavily in technology and AI after the RBI's technology-related restrictions were lifted in February 2025. Shares of Kotak Mahindra Bank have gained around 5% over the last five trading sessions, as investors keep an eye on the bank's leadership transition and future growth plans.
The RBI will now evaluate the two candidates and can approve one of the names or seek additional candidates from the bank. As per Reuters, the regulator's approval is required for the appointment of the MD and CEO of private-sector banks, with the bank having several months to complete the transition before Vaswani's term ends on December 31, 2026. It is not yet clear which of the two candidates is the bank's preferred choice. The Kotak succession process comes at a time when CEO transitions at India's large private-sector banks are drawing increased investor attention, with HDFC Bank separately working on succession planning for MD and CEO Sashidhar Jagdishan, whose term ends in October 2026.
