HDFC Bank fined by RBI for regulatory breaches

HDFC Bank Limited has announced a penalty of 0.91 crore rupees imposed by the Reserve Bank of India (RBI). The penalty, communicated via an order dated November 18, 2025, and received by the bank on November 28, 2025, is in connection with the bank's financial position as of March 31, 2024.

The RBI exercised its powers under Section 47A(1)(c) read with Section 46(4)(i) of the Banking Regulation Act, 1949, to issue an order regarding the contravention of several directives. These include sections of the Reserve Bank of India (Interest Rate on Advances) Directions, 2016; guidelines on managing risks and code of conduct in outsourcing of financial services by banks; Reserve Bank of India (KYC) Directions; and the Banking Regulation Act, 1949.

HDFC Bank stated that it has undertaken corrective action to address the identified issues, and its subsidiary, HDBFS, has also taken similar steps. Both entities affirm compliance with the aforementioned directions as of the current date.