Shares of HDFC Bank, India’s leading private sector bank, gained over 3 per cent on Thursday as the lender has received government authorisation to offer deposits under the Capital Gains Accounts Scheme (CGAS), 1988. Amid this, the stock opened with a gap at Rs 762.80, up 3.64 per cent. However, the stock saw profit booking at higher levels and fell to Rs 751.20 in the early trading session. Last seen, the stock was trading in the green at Rs 751.55, up Rs 15.55 or 2.11 per cent. The market cap of the company stood at Rs 11,59,822.88 crore.ย
HDFC Bank to offer deposits under Capital Gains Accounts Scheme
The bank has received government authorisation to offer deposits under the Capital Gains Accounts Scheme (CGAS), 1988. According to the private lender, customers can open savings accounts and fixed deposits under the scheme at its urban and semi-urban branches.ย
Capital Gains Accounts Scheme?
The Capital Gains Accounts Scheme (CGAS) allows taxpayers to hold unused capital gains for up to three years in a bank account.
With CGAS, taxpayers who cannot finalise their re-investment before the income tax filing deadline can open savings accounts and fixed deposits with the bank across all urban and semi-urban branches (excluding rural branches), HDFC Bank said in a statement.
Under the applicable section of the Income-tax Act, depositors cannot only avail tax exemption but also earn interest on their deposits for up to three years, it said.
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HDFC Bank Q2 results
Earlier, the country’s largest private-sector lender, HDFC Bank, on Saturday reported a 5.55 per cent increase in its consolidated net profit for the September quarter to Rs 20,700 crore, noting that the impact of treasury operations restricted profit growth.
In the quarter under review, HDFC Bank’s net profit grew 4.7 per cent to Rs 19,510 crore on a standalone basis.
The bank said profit after tax grew 12.6 per cent year-on-year, excluding treasury performance.
The NIM contracted further to 3.2 per cent from 3.3 per cent a quarter ago, and the CASA ratio fell to 31 per cent.
The gross non-performing assets ratio improved to 1.11 per cent from 1.17 per cent a quarter ago and 1.24 per cent a year ago.
(This article is for informational purposes only and should not be construed as investment, financial, or other advice.)