“Macquarie Capital Securities is bearish on PSU banks' ability to sustain recent market share gains in corporate lending. They note that current liquidity coverage ratios (LCR) are tight, leaving little room for loan growth without a significant increase in deposits. Without structural improvement in deposit growth (currently 9-14% for most PSU banks), these banks will struggle to compete with private banks once liquidity buffers tighten and funding becomes a constraint.”