IndusInd Bank turnaround may take 3-4 years, growth will take a backseat, says Abizer Diwanji

IndusInd Bank is facing a challenging period as it grapples with a fresh accounting lapse, leading to a noticeable dip in investor confidence. The bank's shares have plummeted over two percent, reflecting market apprehension. Abizer Diwanji, a prominent financial analyst, has weighed in on the situation, suggesting that the bank's turnaround may extend over the next three to four years. In light of these developments, Diwanji emphasized that growth at IndusInd Bank would likely take a backseat as it focuses on rectifying its internal issues. The bank's management is expected to prioritize strengthening its financial controls and governance to restore trust among stakeholders. This shift in focus indicates that short-term profit expansion might be sacrificed to ensure long-term stability and sustainability. The broader implications of this situation are significant, with potential ripple effects across the banking sector. Investors and market analysts are closely monitoring how IndusInd Bank navigates this turbulent phase. As the bank embarks on this recovery journey, its strategies and execution will be under intense scrutiny, serving as a critical test of resilience and adaptability in a demanding financial landscape.

— Authored by Next24 Live