HDFC Bank surges 3.25 per cent after RBI lifts restrictions from the bank's new digital launches

The share price of HDFC Bank surged 3.25 per cent on Monday after the Reserve Bank of India (RBI) lifted all the restrictions imposed on the lender regarding its business-generating activities under a programme called Digital 2.0.

HDFC Bank was the second highest gainer among the 30 Sensex stocks. The trading in HDFC Bank started on a positive note at Rs 1,411 on Monday against its Friday's close at Rs 1,397. HDFC Bank surged to a high of Rs 1449.90 in the intra-day at the BSE.

HDFC Bank share closed 3.25 per cent higher at Rs 1442.40 at the BSE on Monday when compared with the last week's close at Rs 1397.

The stock rallied after the bank announced that the RBI has lifted all restrictions regarding the launch of new digital businesses.

"We wish to inform you that the RBI vide its letter dated March 11, 2022 has lifted the restrictions on the business generating activities planned under the Bank's Digital 2.0 program. The members of the Board of Directors have taken note of said RBI letter," HDFC Bank said in a regulatory filing to the stock exchanges on Saturday.

In December 2020, the Reserve Bank of India had directed HDFC Bank to temporarily halt all digital launches as well as new sourcing of credit card customers.

The central bank had asked HDFC Bank to halt Digital 2.0 programme after customers faced a number of incidents of outages in internet banking, mobile banking and other digital operations.

(ANI)