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Deutsche Bank is considering a complete exit from its retail banking operations in India and has invited bids from domestic and international lenders, two people familiar with the matter told Reuters. The move makes the German lender the latest foreign bank to scale back its retail presence in one of the world’s fastest-growing economies.
The bank, which operates 17 Indian retail branches, set an August 29 deadline for non-binding offers. The valuation being sought has not yet been disclosed, and details of bids remain unclear. A company spokesperson declined to comment, citing a policy against addressing “rumours or market speculation.”
The decision aligns with Deutsche Bank’s global strategy to streamline operations and improve profitability. CEO Christian Sewing announced earlier this year that the bank would reduce its retail workforce by about 2,000 employees in 2025, alongside significant branch closures worldwide.
In India, Deutsche Bank generated $278.3 million in retail banking revenue during the fiscal year ending March 2025, according to disclosures. However, foreign lenders have long found it difficult to expand in India given regulatory hurdles and competition from homegrown banks. India remains a key market for Deutsche, with overall net revenue of $1 billion in 2024 and more than 22,000 employees, making it the bank’s largest base outside Germany.
Deutsche’s potential exit echoes similar moves by other multinational banks. Citi sold its retail and credit card business in India to Axis Bank in 2022 in a deal worth over $1 billion, while Standard Chartered sold a $488 million personal loan portfolio to Kotak Mahindra Bank in 2024.
Deutsche had previously attempted to divest its Indian retail and wealth management business in 2017, but that plan was abandoned. The renewed effort indicates continuing pressure on foreign banks to reassess their retail strategies in a highly competitive Indian market.
