AS per India's leading news agency on monday ,kamath has given some statements for the people who are concerned with the sudden fall of 20% in its share on saturday he has given some convincing statements which are summerized below for our readers :-

Mumbai, Oct 13: ICICI Bank has no liquidity problem as it has Rs 90,000 crore in government securities, besides the global subsidiaries have USD 2.5 billion in cash, country's leading private sector lender's Chief Executive K V Kamath said on Monday.

"We have Rs 90,000 crore investment in government securities.... As of Friday (October 10) we did not borrow from the call market... our global subsidiaries are with USD 2.5 billion of cash," Kamath told a news channel.

Asked whether ICICI Bank is being targeted, Kamath said "you spread a rumour the stock reacts... someone is trying to build a vicious circle...there is an organised attempt to spread rumour."

Explaining about the safety of depositor's money, he said, "I assure you they are safe.... we have a cash adequacy ratio of 150 per cent of the normal requirement... the bank is liquid."

Clarifying further, he said, "We have a very small exposure in the US. None at all in sub-prime. We are well capitalised... and cushion to take shock is there in the balance sheet."


Kamath further said that ICICI Bank, whose shares tumbled by 20 percent on Friday, has evidence of organised attempts having been made to destabilise it.

The bank, India's largest in the private space, is also over-capitalised and is one of the strongest financial institutions in the world, he said.

The bank was in good financial health and it "has not seen any drastic decline in deposits in the past few weeks," the ICICI Bank chief added.

According to Kamath, there has been no deterioration in credit quality as well.

Shares of ICICI Bank today surged as much 19 percent in the early morning trade on the Bombay Stock Exchange after the bank’s Chief Executive assured that they have sufficient liquidity and the depositors money is safe.

Shares of the bank opened firm at Rs 405 and rallied further to touch the day's high of Rs 433, a jump of 18.89 percent over previous close on the BSE.

Similar movements were witnessed on the National Stock Exchange where the scrip opened at Rs 390 and touched an intra-day high of Rs 432.70, up 18.98 percent over Friday's close. Over 1.13 crore shares changed hands on both the bourses.

Kamath's statement followed the hammering down of scrip of the bank on Friday.

The bank's scrips has suffered heavy looses including 20 percent on Friday in the face of onslaught of rumours though the largest private sector lender has been maintaining that it is facing no crunch and its financial position is strong.

The scrip was later trading at Rs 426.75, up 17.21 percent on the BSE and at Rs 423.90 on the NSE in the early morning trade.