From stockbroker to banker, that’s how Hasmukh Parekh Doyen of Housing Finance Revolution became

When Parekh came up with the concept for Housing Development Finance Corporation, a company that would lend money to ordinary homebuyers, it was a quantum leap in a country where the middle class was extremely small and there was a severe labor shortage that most people wary of taking on debt of any kind.

New Delhi: Nearly 14 years before liberalization and 40 years before startups became the country’s economic craze, Hasmukh Thakordas Parekh founded a company that will make headlines around the world in 2023. HDFC Bank, today the 4th largest bank in the world, was founded by the parent company HDFC, which has since acquired it.

The story behind HDFC

When Parekh came up with the concept for Housing Development Finance Corporation, a company that would lend money to ordinary homebuyers, it was a quantum leap in a country where the middle class was extremely small and there was a severe labor shortage that most people wary of taking on debt of any kind, according to a report from Moneycontrol.

Doyen of the Indian housing and financial sector

The spirit of banking was passed down to Hasmukh Thakordas Parekh from his father, and his mother’s great influence and the imprint of her humble nature also had a greater impact on him. His ideals and worldview were heavily influenced by the Gandhi era, in which he also spent his formative years. Mr. Parekh obtained a degree in economics from the University of Mumbai and then went to the London School of Economics to obtain a B.Sc. in banking and finance, according to HDFC.

Career in a brokerage firm

Mr. Parekh started his financial career with a renowned brokerage firm, Harkisandass Lukhmidass, after returning to India in 1936. At the same time, he taught economics at St. Xavier’s College in Mumbai for about three years. He viewed his two-decade tenure with the brokerage firm as valuable because it not only taught him the fundamentals of the industry but also significantly aided his personal development, the report said.

About HDFC

A publicly traded banking company, HDFC Bank Limited offers a variety of banking and financial services including retail banking, wholesale banking and treasury activities. HDFC Bank, a new generation private sector bank headquartered in Mumbai, offers a comprehensive range of banking services including transaction and branch banking for retail clients and commercial and investment banking for wholesale clients.

The bank operates four offshore wholesale bank branches in Bahrain, a branch in Hong Kong and two representative offices in the United Arab Emirates and Kenya. HDFC Securities Limited (HSL) and HDB Financial Services Limited (HDBFSL), two subsidiaries of the bank, are both companies, according to CapitalMarket.com.