Indian Bank has exercised its call option to fully redeem its Basel III Compliant Tier 2 Bonds Series V, completing both principal repayment of ₹2000 crores and interest payment of ₹123.60 crores on January 13, 2026. The bank made this disclosure under Regulation 57 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Bond Redemption Details

The bank opted for full redemption through call option exercise, redeeming the bonds five years ahead of their original maturity date. The bonds were originally scheduled to mature on January 13, 2031.

Interest Payment Confirmation

Simultaneously with the redemption, Indian Bank confirmed payment of annual interest on the debt securities. The interest payment was made on the scheduled due date without any delays.

Regulatory Compliance

The bank's disclosure confirms full compliance with SEBI regulations regarding debt securities payment obligations. The communication was addressed to both National Stock Exchange of India Limited and BSE Limited, ensuring transparency with all stakeholders. The early redemption through call option exercise demonstrates the bank's proactive debt management strategy while maintaining regulatory compliance standards.

Indian Bank has announced its business update for the third quarter of FY26, reporting total business of ₹14.30 lakh crore as of December 31, 2025. The public sector bank filed this disclosure under SEBI Regulation 30, highlighting strong year-on-year growth across key business metrics with gross advances rising 14.5% and total deposits increasing 12.5% year-over-year.

Strong Business Growth Performance

The bank's total business registered a robust 13.4% year-on-year growth, increasing from ₹12.61 lakh crore in December 2024 to ₹14.30 lakh crore in December 2025. This growth was supported by healthy expansion in both deposit and lending portfolios, demonstrating the bank's strong operational momentum.

Deposit Portfolio Expansion

The bank's deposit base grew significantly, with total deposits reaching ₹7.90 lakh crore, representing a 12.5% increase compared to the same period last year. Savings bank deposits stood at ₹2.52 lakh crore with 7.7% growth, while current account deposits showed stronger momentum at ₹0.43 lakh crore with 19.4% year-on-year growth.

The domestic CASA ratio was recorded at 39.02% as of December 2025, compared to 40.00% in December 2024 and 40.17% in March 2025, indicating a slight decline but maintaining healthy levels.

Lending Portfolio Performance

Gross advances demonstrated strong growth of 14.5%, reaching ₹6.40 lakh crore in December 2025 from ₹5.59 lakh crore in the corresponding period of the previous year. The retail, agriculture and MSME (RAM) segment in the domestic portfolio showed particularly robust performance, leading the bank's lending growth strategy.

The RAM portfolio recorded the highest growth rate at 17.0%, increasing from ₹3.35 lakh crore to ₹3.92 lakh crore year-on-year, reflecting the bank's focus on priority sector lending.

Regulatory Compliance

The business update was filed in compliance with SEBI Listing Obligations and Disclosure Requirements Regulations, 2015, and the Code of Practices and Procedures for Fair Disclosure of Unpublished Price Sensitive Information. The bank noted that the December 2025 figures are provisional and subject to review by the statutory central auditors.