Companies

Board fully aware of succession planning responsibilities: Kotak

Our Bureau Mumbai | Updated on May 04, 2021

He will remain CEO till Dec 31, 2023

Uday Kotak, Managing Director and CEO at Kotak Mahindra Bank said on Monday the bank and its Board are fully committed to long term stakeholder value and are fully aware of their responsibilities in terms of succession planning.

“The tenure approved for me is up to December 31, 2023. You will see me as CEO till then. The board and the bank are fully committed to long term stake holder value and will do whatever is appropriate to ensure long term stakeholder and shareholder value for the future. The commitment to long term institution building is our core value,” he said, responding to a question on the recent guidelines by the Reserve Bank of India capping the tenure of MDs and CEOs of private banks.

Also read: Kotak Mahindra Bank Q4 net profit up 33%

When asked about succession planning, Kotak said, “Members and Board are fully aware of their responsibilities and will act in a manner which is appropriate and responsible.”

Covid-19 precautions

Meanwhile, to protect its employees from the surge in Covid-19 infections, Kotak Mahindra Bank has decided employees will only come to office after approval from senior management.

“The first job of any responsible institution today is to focus on saving lives,” Kotak said, adding the decision is currently for one week but will be reviewed routinely depending on the situation.

He also expressed hope the Covid surge would stabilise soon but cautioned that one must be prepared for a third wave of infections. On proposals for a fresh round of restructuring, he said financial institutions should face reality and beef-up their capital. “It is wrong to say we will only support borrowers when the policy-maker gives the go-ahead. They should make provisions and give restructuring to borrowers on merit,” he said.

Published on May 03, 2021

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