Bank | CASA Ratio | Date |
---|---|---|
SBI | 43.81% | 2017 [1] |
Yes Bank | 26% | 2020 [2] |
Kotak Mahindra Bank | 51% | March 2018[3] |
Bank Alfalah | 83.3% | February 2017[4] |
ICICI Bank | 51% | January 2019 |
Karnataka Bank | 28.91% | March 2020 |
IndusInd Bank | 42.00% | March 2021[5] |
CASA ratio stands for current and savings account ratio. CASA ratio of a bank is the ratio of deposits in current, and saving accounts to total deposits. A higher CASA ratio indicates a lower cost of funds, because banks do not usually give any interests on current account deposits and the interest on saving accounts is usually very low 3–4%.[6] If a large part of a bank's deposits comes from these funds, it means that the bank is getting those funds at a relative lower cost. It is generally understood that a higher CASA ratio leads to higher net interest margin. In India, it is used as one of the metrics to assess the profitability of a bank.[7][8]