Finshots Daily RBL’s ticket to the big leagues
Oct 27, 2025
Discover why Dubai's Emirates NBD is making a bold $3 billion investment in RBL Bank, marking the largest foreign stake in an Indian bank. Learn how RBL is expanding through partnerships and microfinance, and the challenges it faces from regulatory changes. The podcast delves into RBL's declining profits linked to credit card issues and explores how the new capital will enable safer lending and technological upgrades. Employee concerns about foreign ownership and the deal's potential risks add layers to this fascinating financial narrative.
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Bajaj Tie-Up Fueled Card Growth
- RBL used a 2016 tie-up with Bajaj Finance to scale rapidly via co-branded cards and EMIs.
- The partnership produced about 5.2 million cardholders and pushed RBL's card market share into the mid-single digits.
Microfinance Push Into Tier 2 Towns
- RBL expanded into microfinance and Tier 2 towns to onboard millions and grow retail presence.
- This rural push helped RBL become recognized as a mid-sized retail bank.
Regulation Ended A Key Growth Engine
- RBI's 2024 crackdown on co-branded cards removed NBFC fee-sharing and broke RBL's Bajaj model.
- That regulatory change forced RBL to seek new growth levers beyond partnerships.