PNB MD: Deposit Rate Repricing Nears Completion, More Transmission Expected in Q4

• PNB has reduced deposit rates from 7.25% to 6.40% by January, completing 55-60 basis points of repricing.
• An additional 20-30 basis points reduction in deposit rates is anticipated in Q4, balancing margins and policy rate benefits.
• The bank reported its highest-ever Q3 profit, driven by growth in retail, agriculture, MSME (RAM) segments, new verticals, and strong SB account mobilization.
• PNB expects operating profit to consistently exceed Rs 7,000 crore and net profit over Rs 5,000 crore quarterly.
• The bank aims for a 60:40 RAM-to-corporate loan mix by Q3/Q4 FY26-27, with positive margin impact expected from Q2 FY26-27.

Why It Matters: PNB has largely completed deposit rate repricing, with further reductions expected in Q4, driving strong profitability.