Bank Credit Surges 18.56% to ₹226 Lakh Crore as Deposit Growth Lags at 14.66%: RBI Data

₹28.97 Lakh Crore

+16.10% YoY

Investments in Govt Securities (G-Secs)

₹73.59 Lakh Crore (₹73,59,331 Cr)

₹69.05 Lakh Crore

+6.57% YoY

Scheduled Commercial Banks (SCBs) Position

Within the primary commercial banking sector (covering 119 reporting institutions):

• Bank Credit Outstanding: ₹220.08 Lakh Crore
• Aggregate Deposit Base: ₹269.31 Lakh Crore
• G-Sec Investment Book: ₹71.91 Lakh Crore
• Commercial Credit-to-Deposit (C-D) Ratio: ~81.72%

Key Structural Trends Across the Banking System

The central bank's fortnightly data highlights three core balance-sheet dynamics:

1. Persistent Credit-Deposit Growth Divergence

With bank credit expanding at nearly 19% YoY compared to 14.7% for deposits, commercial banks continue to experience elevated loan-to-deposit ratios. This sustained gap has prompted heightened supervisory monitoring from the RBI regarding potential asset-liability mismatches.

2. Dominance of Fixed-Term Deposits

Fixed-term deposits now represent ₹241.19 lakh crore, or 87.8% of total banking liabilities. Retail savers have systematically locked liquidity into higher-yielding term deposits, compressing the proportion of low-cost Current and Savings Account (CASA) balances across the industry.

3. Maintenance of Sovereign Liquidity Buffers

Investments in Central and State Government securities stood at ₹73.59 lakh crore, reflecting strict adherence to Statutory Liquidity Ratio (SLR) requirements and High-Quality Liquid Asset (HQLA) standards under Basel III Liquidity Coverage Ratio (LCR) guidelines.