Deutsche Bank is exiting its private banking and wealth management operations in India, selling the business to local lender Kotak Mahindra Bank.
The deal marks a significant contraction of the German bank's footprint in South Asia, as it divests its branch network and high-net-worth client services in the region.
The move aligns with a broader trend of foreign institutional investors pulling back from Indian financial markets.
Rising US Treasury yields have exacerbated valuation concerns, leading to a broad-based retreat that affects not only equities but also domestic banking and wealth management sectors.
Deutsche Bank's decision reflects the increasing difficulty of maintaining profitable operations in markets where capital outflows are accelerating.
This strategic withdrawal comes as Deutsche Bank continues to recalibrate its global exposure.