Another RBI rate hike likely; smaller banks will see more contraction in NIMs: Deepak Shenoy

“We are getting a re-pricing of short-term liabilities across the spectrum. This will eventually come into deposits and when that happens, a lot of banks will show smaller NIMs going forward. We have to be careful about that. A lot of the small banks have shown some signs of recovery. I am just waiting to see how repricing works for South Indian Bank, J&K Bank, Federal Bank.”