Deepak Parekh Bids Adieu

Deepak Parekh, a pioneering figure in the mortgage-lending industry at the age of 78, is set to retire with a sense of accomplishment. He takes pride in having built a powerhouse that, after merging with the lender it originated from three decades ago, will become the fourth largest bank globally.

In a heartfelt letter addressed to HDFC Ltd shareholders, Mr. Parekh shares his farewell sentiments, expressing both anticipation and hope for the future. Although this marks his final communication to HDFC shareholders, he reassures them that the company is now poised for an exciting future of growth and prosperity.

Over the course of almost four decades, Deepak Parekh has been a prominent figure in Indian finance. He has played a pivotal role in enabling countless ordinary citizens to step onto the property-ownership ladder by expanding the narrow scope of the financier founded by his uncle during the license-raj era. Beyond mortgages, he has steered Indian finance into adulthood and global relevance.

During times of scarce capital and reluctance from private business houses to invest due to extended payback periods, HDFC stepped in as a significant player by providing capital for banks, insurance companies, and mutual funds. Under his leadership, some of the companies he founded, such as HDFC Mutual Fund, HDFC Life Insurance, and HDFC Ergo (a general insurance company), have grown to become industry leaders.

Despite his background in the mortgage business, Deepak Parekh led HDFC to explore other domains like private equity investments in real estate and education loans, expanding its influence beyond traditional boundaries. Throughout his illustrious career, he became the go-to person for regulators and administrations whenever institutions faced controversies or governance challenges that endangered their very existence.