News > Bandhan Bank shares fall over 5% as brokerages raise concerns over credit cost

Bandhan Bank shares fall over 5% as brokerages raise concerns over credit cost

The share price of Bandhan Bank declined over 5 percent in early trade on Friday after certain brokerages cut FY21 earnings estimates for the bank due to elevated credit cost seen ahead.

Brokerages have raised concerns over the bank’s higher than expected credit costs and uncertainties lying ahead over the political promises of microfinance loan waivers in Assam and West Bengal. Near-term uncertainty will weigh on above-average profitability.