Credit flows jump 38% in FY26 as RBI easing sparks borrowing spree

Published on 24 April 2026

Commercial credit hit a milestone beyond ₹300 lakh crore

India’s formal loan market roared back in FY26, with credit flows rising 38% after a prior-year contraction. RBI policy rate cuts and liquidity injections helped restart demand, driving credit expansion to ₹44.6 lakh crore. The outstanding financial resources of India’s commercial sector also crossed ₹300 lakh crore for the first time, signaling broad-based momentum.

FY26 credit flows surged 38% after contraction last year
RBI rate cuts and liquidity infusion boosted lending demand
Credit expansion reached ₹44.6 lakh crore
Commercial sector outstanding resources crossed ₹300 lakh crore

#credit growth #interest rates #banking #liquidity #rbi

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Credit flows jump 38% in FY26 as RBI easing sparks borrowing spree

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