The Turbulence In The Indian Private Sector Banks Is Gathering Speed

Majority of Indian banks are in the worst shape possible.

All 19 Public Sector Banks (majority owned by Govt and operated by Govt) have a smaller market cap than 1 single HDFC Bank.

At least 11 PSU banks have a total ban on lending.

Last year 5 SBI subsidiaries merged with the parent SBI. Last week, 3 major banks were merged. these are signs of stress an crisis.

Some CEO's and several top executives have been charged or arrested for fraud.

Bad loans at banks are at their highest in the HISTORY of India.
Now the downfall of the Indian private sector banks has begun. The CEO's of 3 private sector banks like Axis, ICICI and Yes Bank have been kicked out due to poor governance and poor reporting (hiding) of bad loans to the regulator.

The case of ICICI CEO is under investigation both by RBI in India and SEC in the US for a scandal.

Given the cases of Yes Bank and Axis Bank and other executives charged for fraud, chance of survival of ICICI Bank CEO look extremely bleak.

An excellent article on the subject of private sector banks:

With Rana Kapoor’s Exit, The Spring-Cleaning At India’s Private Sector Banks Continues

Mega merger of 3 banks last week:

Bank of Baroda's merger with Vijaya Bank, Dena Bank: Four key challenges


Bad Loans crisis:

No end to NPA woes; banks to see rise in bad loans in FY'19, says RBI

Business climate is worsening at it's fastest speed

RBI: Loan defaults by small businesses double in a year

Earlier this year about 35 overseas branches were shut and now 70 more are being shut.

PSU banks plans closure of 70 overseas offices during this fiscal    

There is bank hiring freeze across India since about 2012, and no replacements are being done. With so many mergers thousands of jobs will be lost. 

The bank unions are fighting but will eventually lose since the other option is complete shut down of the banks.

Job losses loom in three-bank merger