ICICI Securities recommends investing in large private banks like HDFC and Kotak due to their robust financial health and promising risk-reward prospects. Smaller banks such as RBL, Bandhan, City Union, Karur Vysya, DCB, and South Indian Bank are rated as 'Buy', but potential risks from small businesses and geopolitical factors are being closely monitored.

Bandhan Bank saw a significant increase in loans by 12.6% year-over-year (YoY) and a smaller increase of 6.2% quarter-over-quarter (QoQ), reaching ₹154,235 crore. Deposits also rose by 10% YoY to ₹166,344 crore, with the current account savings account (CASA) ratio improving to 29.3%. This growth suggests a positive trend in loan and deposit activities for Bandhan Bank.

Bandhan Bank has shown impressive improvement in its collection efficiency, reaching 98.9% in March compared to 98.1% in December. Notably, this increase of nearly 12.6% year-over-year excludes their bad loan portfolio. This positive trend suggests effective loan recovery efforts by the bank.

Starting April 1, 2026, HDFC Bank will include UPI transactions within their free ATM withdrawal limit. PNB reduces debit card cash withdrawals at ATMs, while Bandhan Bank sets a cap on non-bank ATM transactions. These changes aim to streamline banking services across these three banks.