Kotak Mahindra Bank restructures subsidiary operations to meet RBI compliance. The bank will absorb Kotak Mahindra Investments Limited (KMIL) operations departmentally from April 1, 2026, aligning with Reserve Bank of India's 2025 directions on financial services within banking groups. KMIL will cease sanctioning new loans but continue servicing existing facilities. The move supports group simplification and operational efficiency. KMIL contributed approximately one percent of consolidated net income and 2.3 percent of consolidated profit after tax in FY 2024-25, with net worth of Rs. 3,842 crore representing 2.4 percent of the bank's consolidated net worth. This restructuring reflects broader regulatory trends pushing banking groups toward streamlined operations and clearer compliance frameworks.
