India has produced leaders who run global financial giants, but its own banking sector faces a shortage of top executives. Indian-born bankers have led major institutions from Deutsche Bank AG and Citigroup Inc. to Barclays Plc. At home, however, domestic lenders struggle to find successors for key leadership roles.

The issue has come into sharp focus at HDFC Bank Ltd., India's largest private bank, which is searching for a new chief executive officer after its current leader chose not to seek an extension. Another major institution, Kotak Mahindra Bank Ltd., is on its second CEO search in three years.

In both cases, no clear successor was waiting, forcing a complex and open recruitment process. The pattern highlights how India's education and talent pipeline feeds leadership positions abroad while domestic firms face succession challenges at the top.