Fast-tracking the process for selection and appointment of Sashidhar Jagdishan’s successor, HDFC Bank’s board on Saturday shortlisted “two candidates”, whose names will be submitted to the RBI so that it can approve one to occupy the top position at the bank for three years.

While the Bank did not disclose the names of the prospective MD & CEO candidates, market players say the Board could have picked up two from a pool comprising Paresh Sukthankar, former Deputy Managing Director, HDFC Bank; K Balasubramanian, Citi’s Chief Country Officer for India; Vishaka Mulye, Chief Executive Officer of Aditya Birla Capital; Jimmy Tata, Chief Credit Officer, HDFC Bank; Vibha Padalkar, CEO and MD of HDFC Life, among others

The Board of Directors of India’s largest private sector bank also took other important decisions such as creation of an additional position of Whole-Time Director (WTD) in order to have a larger pipeline for succession planning; appointment of Tata as a WTD (designated as Executive Director/ED); and re-appointment of V Srinivasa Rangan as a WTD (designated as ED).

The aforementioned decisions, based on the recommendations of Governance, Nomination and Remuneration Committee and pursuant to the Banking Regulation Act, 1949 and the Reserve Bank of India (Commercial Banks - Governance) Directions, 2025, are being submitted to the Reserve Bank of India for its approval, HDFC Bank said in a regulatory filing.

Controversy

Jagdishan’s six year tenor as HDFC Bank’s chief comes to an end on October 26, 2026. His decision not to seek a third term as MD & CEO came amid controversy that started with the abrupt resignation of the Bank’s Part-Time Chairman in March 2026.

The Board approved the “Appointment of the Managing Director & Chief Executive Officer of the Bank, by submitting the names of two candidates in order of preference and the remuneration proposed to be paid to them, for a period of three years, subject to approval of RBI.”

The Board’s move to find a replacement for Jagdishan follows his late August decision to not seek his re-appointment as the MD & CEO of the Bank.

By creating one additional WTD position, the Board is increasing the strength of WTDs to four, in addition to the MD & CEO, in order to have sharper synergy and oversight, including on the subsidiaries of the Bank as well as to have larger pipeline for succession planning, per the filing.

The additional WTD position will be filled in consultation with the new Managing Director & Chief Executive Officer, after he/she takes charge of the position.

The Board cleared the appointment of Tata as a WTD of the Bank along with remuneration payable to him, for a period of three years with effect from the date of approval of RBI or such other date/ period specified by RBI.

It also re-appointed V. Srinivasa Rangan as a Whole-time Director (designated as Executive Director) of the Bank along with remuneration payable to him with effect from November 23, 2026 till November 22, 2027.

Mangesh Kulkarni, Vice President (PMS), Almondz Wealth Advisors, said: “The timing of the decisions is significant. Following the exit of the Chairman and the decision of Sashidhar Jagdishan not to seek reappointment as MD & CEO, HDFC Bank now appears to be institutionalising succession planning at the Board level.

“The creation of an additional WTD position could, therefore, be seen not merely as strengthening oversight, but as a response to the need for greater leadership depth and continuity.”

Published on September 12, 2026