Deutsche Bank explores full exit from India retail business, invites bids by Aug 29: Report

Deutsche Bank is exploring the sale of its Indian retail banking assets and has invited bids from domestic and foreign lenders in the country, according to a Reuters report. The move, if it materialises, would make it the latest foreign bank to trim its exposure to India.

The Germany-based lender has pledged to make its retail business more profitable. In March, CEO Christian Sewing announced plans to cut nearly 2,000 jobs in the retail unit in 2025, alongside a “significant” reduction in branch numbers.

In India, Deutsche is seeking to exit its retail banking business entirely, which currently operates through 17 branches, Reuters reported. The bank set an August 29 deadline for non-binding bids from several interested lenders. Details of the bids received, as well as the valuation sought for the India retail assets, remain unclear.

For the financial year ending March 2025, Deutsche reported $278.3 million in retail banking revenue from India.

Deutsche, which entered India in the early 1980s, has built a presence across treasury, derivatives, private wealth management, corporate, and retail banking. The bank generated $1 billion in net revenue from India in 2024, similar to Singapore but behind its larger markets such as Germany, the US, and the UK.

While its retail operations may be on the block, Deutsche continues to expand other parts of its India business. Employee strength, including back-office and technology roles, has been growing steadily. With more than 22,000 staff at the end of 2024, India is Deutsche’s largest operation outside Germany.

Despite India’s fast-growing economy and rising wealthy population, foreign banks have struggled to expand retail operations in the country, constrained by strong domestic competition and regulatory hurdles.

Citi exited its credit card and retail banking businesses in India in 2022 in a deal worth over $1 billion, while Standard Chartered sold its $488 million personal loan book to Kotak Mahindra Bank last year.