Credit Growth
Banks dip into surplus funds, short-term borrowings to support credit growth
Public sector banks are increasingly relying on surplus funds and short-term borrowing from the RBI to meet loan demand as deposit growth lags. But analysts caution that without stronger deposit mobilization, credit growth may face constraints.
5 min read18 May 2026How the Iran war threatens India’s nascent credit recovery
Despite strong MSME and retail lending momentum, escalating West Asia conflict and supply chain disruptions risk derailing India’s fragile credit recovery.
4 min read11 May 2026SBI Q4 preview: Strong loan growth, stable margins may cushion margins
Analysts expect India’s largest lender to continue outperforming peers on loan growth and net interest margin (NIM) stability, even as higher bond yields weigh on treasury gains during the January-March quarter
2 min read8 May 2026McKinsey report: Indian banks have peaked in performance but they still have a long way to go
Indian banks have performed well on credit growth, asset quality, digital adoption and more, but the forces behind this rise are flagging. Early movers can differentiate themselves by focusing on the fundamentals of banking.
3 min read7 May 2026New emergency credit scheme to aid banks, limit bad loans, brokerages say
India’s ECLGS 5.0 scheme, with ₹2.55 trillion in guaranteed credit, is expected to boost bank loan growth and protect asset quality amid West Asia war risks. Analysts say it offers a low-risk lending cushion, helping MSMEs and corporates manage liquidity stress.
1 min read6 May 2026SCBs clock 15.9% credit growth in FY26, led by services, MSMEs, retail
The 497-basis-point jump reflects sustained economic momentum and rising demand for credit across sectors.
2 min read5 May 2026Indian Bank expects margins to moderate in FY27 on elevated deposit costs
The state-owned lender sees steady FY27 growth but expects NIM compression as funding lags credit demand.
2 min read30 Apr 2026Axis Bank frontloads FY27 provisions amid West Asia war uncertainty
The private-sector lender set aside a one-time ₹2,001 crore buffer in Q4, citing macro and geopolitical risks, even as higher provisions weigh on profit and margins face near-term pressure.
2 min read25 Apr 2026IndusInd Bank eyes FY27 growth reset after crisis-hit year as profit returns in March quarter
IndusInd Bank expects loan and deposit growth to align with the industry in FY27 after a year of stress in derivatives and microfinance, though war-related uncertainty keeps the near-term outlook cautious.
2 min read24 Apr 2026HDFC Bank moves past loan-to-deposit target, pivots to growth—but past glory remains distant
With LDR no longer a constraint, HDFC Bank sees stronger loan momentum ahead even as margins, asset quality, and macro risks shape FY27 outlook.
2 min read20 Apr 2026Wait for it…
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