India’s banking ecosystem includes 12 public sector banks, 21 non-public sector banks, and 11 small finance banks. In 2024, the full property of the private and non-private banking sectors have been recorded at Rs. 161.2 lakh crore and Rs. 109.5 lakh crore, respectively. Public sector banks contributed to round 59.5 % of the full banking property, which embody public, non-public, and international banks.
Overseas institutional traders (FIIs) have been steadily rising their holdings in public sector banks (PSU banks) by the September 2025 quarter, reflecting a renewed sense of confidence in state-owned lenders. Shareholding knowledge signifies that FIIs expanded their publicity throughout virtually all main PSU banks, together with Financial institution of Baroda, Canara Financial institution, and the State Financial institution of India.
Studies recommend that the Authorities of India is contemplating elevating the international possession cap in PSU banks from the present 20 % to 49 %, a reform that might considerably broaden the sector’s investor base. As per estimates from Nuvama Institutional Equities, this potential coverage shift might appeal to as much as $4 billion in passive international inflows, offering a significant enhance to liquidity and market participation throughout the banking sector.
Following are just a few PSU financial institution shares which have witnessed an increase within the Overseas Institutional Buyers (FIIs) as of September 2025 shareholding sample:
With a market cap of Rs. 1.41 lakh crores, the inventory moved up by round 2 % on BSE and closed within the inexperienced at Rs. 122.45 on Friday. As of the newest shareholding sample, FII holdings surged from 5.52 % in June 2025 to five.67 % in September 2025, an increase of 0.15 %.
On the monetary entrance, the financial institution’s internet curiosity revenue (NII) declined marginally by round 0.02 % YoY to Rs. 10,654 crores, whereas the web revenue elevated by over 9 % YoY to Rs. 4,848.6 crores in Q2 FY26.
With a market cap of Rs. 1.17 lakh crores, the inventory moved up by round 2.2 % on BSE and closed within the inexperienced at Rs. 153.3 on Friday. As of the newest shareholding sample, FII holdings surged from 7.7 % in June 2025 to 7.86 % in September 2025, an increase of 0.16 %.
On the monetary entrance, the financial institution’s internet curiosity revenue (NII) declined by round 2.3 % YoY to Rs. 8,958 crores, whereas the web revenue decreased by almost 9 % YoY to Rs. 4,281.3 crores in Q2 FY26.
With a market cap of Rs. 76,198.3 crores, the inventory moved up by round 2.2 % on BSE and closed within the inexperienced at Rs. 39.57 on Friday. As of the newest shareholding sample, FII holdings surged from 0.08 % in June 2025 to 0.31 % in September 2025, an increase of 0.23 %.
On the monetary entrance, the financial institution’s internet curiosity revenue (NII) surged by greater than 20 % YoY to Rs. 3,061 crores, whereas the web revenue elevated considerably by almost 57.5 % YoY to Rs. 1,228 crores in Q2 FY26.
With a market cap of Rs. 8.82 lakh crores, the inventory moved down by round 0.5 % on BSE and closed within the purple at Rs. 955.95 on Friday. As of the newest shareholding sample, FII holdings surged from 9.33 % in June 2025 to 9.57 % in September 2025, an increase of 0.24 %.
On the monetary entrance, the financial institution’s internet curiosity revenue (NII) surged by round 5.5 % YoY to Rs. 50,038 crores, whereas the web revenue elevated by over 6 % YoY to Rs. 21,504 crores in Q2 FY26.
With a market cap of Rs. 45,849.4 crores, the inventory moved up by round 4 % on BSE and closed within the inexperienced at Rs. 59.61 on Friday. As of the newest shareholding sample, FII holdings surged from 1.89 % in June 2025 to 2.35 % in September 2025, an increase of 0.46 %.
On the monetary entrance, the financial institution’s internet curiosity revenue (NII) surged by round 16 % YoY to Rs. 3,248 crores, whereas the web revenue elevated considerably by almost 23 % YoY to Rs. 1,633.5 crores in Q2 FY26.
With a market cap of Rs. 1.27 lakh crores, the inventory moved up by round 1 % and closed within the inexperienced at Rs. 139.60 on Friday. As of the newest shareholding sample, FII holdings surged from 11.38 % in June 2025 to 11.89 % in September 2025, an increase of 0.51 %.
On the monetary entrance, the financial institution’s internet curiosity revenue (NII) declined marginally by round 1 % YoY to Rs. 9,659.7 crores, whereas the web revenue elevated by almost 19 % YoY to Rs. 4,865.8 crores in Q2 FY26.
With a market cap of Rs. 1.49 lakh crores, the inventory moved up by round 1 % on BSE and closed within the inexperienced at Rs. 289.1 on Friday. As of the newest shareholding sample, FII holdings surged from 8.08 % in June 2025 to eight.71 % in September 2025, an increase of 0.63 %.
On the monetary entrance, the financial institution’s internet curiosity revenue (NII) surged marginally by round 4 % YoY to Rs. 13,126 crores, whereas the web revenue decreased by almost 7 % YoY to Rs. 5,070.3 crores in Q2 FY26.
With a market cap of Rs. 65,831.6 crores, the inventory moved up by round 3 % on BSE and closed within the inexperienced at Rs. 144.6 on Friday. As of the newest shareholding sample, FII holdings surged from 3.53 % in June 2025 to 4.24 % in September 2025, an increase of 0.71 %.
On the monetary entrance, the financial institution’s internet curiosity revenue (NII) declined marginally by round 1.2 % YoY to Rs. 5,991.6 crores, whereas the web revenue elevated barely by greater than 5 % YoY to Rs. 2,525.6 crores in Q2 FY26.
Written by Shivani Singh
Disclaimer
The views and funding ideas expressed by funding consultants/broking homes/score businesses on tradebrains.in are their very own, and never that of the web site or its administration. Investing in equities poses a danger of economic losses. Buyers should subsequently train due warning whereas investing or buying and selling in shares. Commerce Brains Applied sciences Personal Restricted or the creator will not be accountable for any losses brought about on account of the choice based mostly on this text. Please seek the advice of your funding advisor earlier than investing.
