Interest Lost

profitability

India-specific
Set in India; the figures and context are India’s.

What this case is about

Your client is a leading public sector bank in India experiencing a decline in profitability over the last 5-6 quarters. The bank is primarily focused on rural banking with some presence in urban areas. It wants you to analyze the reasons for the declining profitability and suggest avenues for growth to reverse this trend within 1 to 2 years.

Objective

Identify the main reasons behind the bank's profitability decline and recommend targeted strategies to improve profitability focusing on revenue growth and cost optimization.

Skills this case tests

Structuring the problem
Working the numbers
Judgement and recommendation