Banks getting it right, net interest margins on the mend
Published on: Oct. 21, 2025, 5:30 a.m. | Source: The Economic Times
Eight of the 24 banks reporting Q2 earnings have seen sequential improvements in net interest margins (NIMs), signaling a potential bottoming out of this key profitability metric. Indian Overseas Bank led the pack, with its NIM rising 21 basis points to 3.21% following a business re-engineering initiative that increased MCLR-linked loans. Federal Bank also reported strong growth, with NIM up 12 basis points to 3.06%.
