Kotak Mahindra Bank is seeking shareholders’ approval to appoint UdayKotak as a non-executive,non-independent director of the bank for a five-year term once he steps down from his position as MD and CEO.

Kotak’s current term as the managing director and chief executive, as approved by the shareholders of Kotak Mahindra Bank and the Reserve Bank of India (RBI), is till December 31, 2023.

In a postal ballot notice sent to the shareholders, Kotak Mahindra Bank has sought their nod to appoint him as a "non-executive-independent director of the bank, designated and appointed as a non-executive director of the bank, for a term of five years not liable to retire by rotation, upon his ceasing to be the managing director &CEO of the bank’’, the lender said in the notice.

In its explanatory statement, the bank said that its current CEO has had an exemplary record as a promoter as well as an executive and under his leadership over the past35 years, the Kotak group has established a prominent presence in major areas of banking and financial services including stock broking, investment banking, car finance, life& general insurance and asset management.

“In the present volatile global economic scenario, taking this institution forward assumes utmost importance so that it can participate in, and lead the growth story for the Indian banking sector, and the larger economy,” it said.