Ujjivan Small Finance Bank has moved quickly to fill the leadership gap created by the early retirement of Managing Director and Chief Executive Officer Sanjeev Nautiyal.
On September 1, 2026, the Reserve Bank of India approved Executive Director Carol Furtado as Interim CEO for three months from the same date, or until the bank appoints a regular MD and CEO, whichever is earlier. The approval followed a board decision taken after Nautiyal sought early retirement on health grounds.
The timing matters because Ujjivan is managing a growing deposit and loan book while expanding its secured lending businesses. In the quarter ended June 30, 2026, deposits reached ₹48,129 crore and the gross loan book reached ₹42,903 crore. Profit after tax was ₹317 crore, while the bank operated 814 branches and served more than one crore customers.
Furtado is not an outside appointment. She has been associated with Ujjivan's development for years and has worked across business, banking operations, credit, people functions and service quality. She became a Whole-Time Executive Director from May 1, 2024, after RBI approval.
The immediate question is therefore not whether the bank has someone to run operations. It does. The larger question is how quickly Ujjivan can complete its search for a permanent MD and CEO.
What Happened at Ujjivan Small Finance Bank?
Sanjeev Nautiyal informed the bank through an email dated August 31, 2026 that he wanted to take early retirement because of health issues.
He had joined Ujjivan Small Finance Bank as MD and CEO on July 1, 2024 for a three-year term. Before joining Ujjivan, Nautiyal had held senior positions at State Bank of India, including Deputy Managing Director, Financial Inclusion and Micro Markets, and had served as MD and CEO of SBI Life Insurance.
The Ujjivan board considered his request on September 1 and approved it.
Nautiyal ceased to be MD and CEO and a Key Managerial Personnel of the bank from September 1. He is expected to remain on leave during his three-month notice period, which runs until November 30, 2026.
The board also approved Carol Furtado as acting MD and CEO, initially subject to RBI approval.
That regulatory approval came on September 1 itself.
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What the Official Filing Says
Ujjivan's exchange communication said RBI granted approval through a letter dated September 1, 2026.
The approval covers:
- Carol Furtado's appointment as Interim Chief Executive Officer
- A three-month period beginning September 1, 2026
- An earlier end to the interim arrangement if a regular MD and CEO is appointed before that period expires
The later filing also superseded the bank's earlier communication issued during the day, when Furtado's appointment had still been described as subject to RBI approval.
This distinction is important.
Earlier on September 1, the position was that Ujjivan's board had selected Furtado to take charge but regulatory approval was pending.
By the end of the day, RBI had approved the interim appointment.
Who Is Carol Furtado?
Carol Kripanayana Furtado is a Whole-Time Executive Director of Ujjivan Small Finance Bank and has close to three decades of banking experience.
According to Ujjivan, her experience covers retail banking, the NBFC sector, business operations, credit, people functions and service quality. She has previously worked with ANZ Group, Bank Muscat and Centurion Bank.
She has held several responsibilities within Ujjivan, including Chief Business Officer, and was part of the leadership group involved in building the institution.
Her appointment as Whole-Time Executive Director became effective on May 1, 2024 for a three-year period after RBI approval dated March 21, 2024.
Furtado also has experience with an earlier leadership transition at Ujjivan.
In August 2021, the Ujjivan group announced that she would work as Officer on Special Duty and handle day-to-day operations before taking interim CEO responsibility from October 1, subject at the time to RBI approval. The arrangement followed the departure of then MD and CEO Nitin Chugh.
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Ujjivan Small Finance Bank Financial Snapshot
The leadership change comes after a period of balance-sheet expansion.
Q1 FY27 performance
For the quarter ended June 30, 2026, Ujjivan reported:
| Metric | Q1 FY27 | Change |
|---|---|---|
| Deposits | ₹48,129 crore | Up 24.6% YoY |
| CASA deposits | ₹12,930 crore | Up 37.8% YoY |
| CASA ratio | 26.9% | NA |
| Gross loan book | ₹42,903 crore | Up 28.9% YoY |
| Secured loan book | ₹21,638 crore | Up 42.7% YoY |
| Secured share of loan book | 50.4% | NA |
| Disbursements | ₹9,245 crore | Up 41.4% YoY |
| Net interest income | ₹1,186 crore | Up 38.6% YoY |
| Profit after tax | ₹317 crore | Up 206.7% YoY |
| GNPA | 2.17% | Improved YoY |
| NNPA | 0.34% | Improved YoY |
| Provision coverage ratio | 85% | NA |
| Return on assets | 2.2% | NA |
| Return on equity | 18.2% | NA |
| Capital adequacy ratio | 20.36% | NA |
| Average LCR | 132% | NA |
Source: Ujjivan Small Finance Bank Q1 FY27 financial release.
The bank also increased its FY27 return-on-assets guidance to 1.8% to 2.0% following the June quarter results.
What Changed From the Previous Position?
There are two separate changes.
Change 1: Sanjeev Nautiyal is no longer MD and CEO
Until August 31, Nautiyal was the serving MD and CEO.
From September 1, he ceased to hold that office after the board approved his request for early retirement.
Change 2: Carol Furtado's appointment moved from board approval to RBI approval
The first September 1 disclosure said Furtado would take acting charge subject to RBI approval.
A later exchange filing confirmed that RBI had approved her appointment as Interim CEO for three months.
The regulatory uncertainty around the interim position was therefore resolved on the same day.
Why Does RBI Approval Matter for a Bank CEO?
Indian banking companies cannot treat a chief executive appointment in the same way as an ordinary corporate management appointment.
Section 35B of the Banking Regulation Act gives RBI a role in approving appointments and terms relating to senior management positions in banking companies. RBI's appointment framework applies to private sector banks, including small finance banks.
RBI's published appointment framework says proposals for a new MD and CEO should include a panel of at least two names in order of preference.
Under the normal process, banks are also expected to submit a new CEO proposal before the incumbent's scheduled term ends.
Ujjivan's situation is different because Nautiyal's exit was not a planned end-of-term succession. He requested early retirement while his three-year term was still running.
The interim approval therefore provides time for the board to complete the permanent selection process.
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What Happens Next?
The next stage is the appointment of a regular MD and CEO.
Ujjivan has said its board will begin the process of identifying Nautiyal's successor and submit its recommendation to RBI.
Three dates and developments should now be tracked.
September 1, 2026: Carol Furtado's three-month interim period begins.
November 30, 2026: Nautiyal's three-month notice period is due to end.
Within the interim CEO period: Ujjivan will seek to identify and secure regulatory approval for a regular MD and CEO. The appointment can end Furtado's interim tenure before the full three months are completed.
RBI publishes a 90-day service timeline for approval of appointments and reappointments of whole-time directors, including MDs, CEOs and executive directors, in private sector banks including small finance banks. The actual process can depend on the completeness of the bank's submission and regulatory review.