How the bank is judged
Cost-to-income ratio: how efficiently the bank runs
Operating costs as a share of income — what running the bank eats per rupee earned.
Why it matters
This is the number behind every "efficiency" and "cost optimisation" push from the top — and why the bank keeps moving you to digital channels.
A worked example
₹420 cr costs on ₹1,000 cr income = 42% cost-to-income; strong Indian banks run 40–45%, bloat shows above 55%.
The picture
What it leads to
Margin generates income, cost-to-income retains it — together they largely set the bank's ROA and ROE.
Where it sits in the map
Follow the causation