Archive · 23 Jan 2026
Small Finance Banks Expand Hiring for Growth
Small finance banks in India are growing fast and want to become bigger banks.
To do this, they are hiring experienced leaders from larger banks.
These new leaders will help them manage their businesses better.
The banks are also hiring more junior staff to support their growth.
The Reserve Bank of India has rules that these small banks must follow to become universal banks, including having enough money and a good track record.
This is an exciting time for these banks as they prepare to serve more customers and offer more services.
Small finance banks (SFBs) are hiring senior executives from larger banks and NBFCs to prepare for transition to universal banking.
AU Small Finance Bank received a conditional nod from the RBI in August 2024 for its transition plan.
SFBs added 26,736 employees in 2025, showing significant hiring growth compared to larger banks.
SFBs have shown higher growth rates in deposits and advances (28% and 25% respectively) between FY22 and FY25 compared to industry averages.
Eligibility criteria for transition to universal banking include a minimum net worth of ₹1,000 crore and a satisfactory track record of at least five years.
- Who
- Small finance banks (AU, Ujjivan, Suryoday, Utkarsh) and senior executives from larger banks and NBFCs
- What
- Hiring of senior and junior talent to prepare for transition to universal banking
- When
- Ongoing, with AU receiving conditional nod in August 2024
- Where
- India
- Why
- To strengthen leadership, scale businesses, and prepare for transition to universal banking
- Banks Involved
- AU, Ujjivan, Suryoday, Utkarsh
- Positions Sought
- Senior executives, vice-presidents, business officers
- Hiring Source
- Larger banks and NBFCs
- RBI Nod Status
- AU received conditional nod in August 2024
- Hiring Growth (2025)
- 26,736 employees added
- Growth Rate (FY22-FY25)
- 28% in deposits, 25% in advances
- Eligibility Criteria for Transition
- Minimum net worth of ₹1,000 crore, 5 years track record, net profit in last 2 years