Bank Credit to Industry Grows at 13.5% in Latest Fortnight

Bank Credit to Industry Grows at 13.5% in Latest Fortnight​

Mumbai, March 30 – Bank credit to the Indian industry witnessed a significant acceleration, growing at a rate of 13.5 per cent during the fortnight ending February 28, 2026, according to data released by the Reserve Bank of India (RBI) on Monday. This represents a notable increase compared to the 7.5 per cent growth observed in the year-ago period.

Sectoral Credit Growth Highlights​

The robust growth is primarily attributed to increased lending in several key sectors, including ‘infrastructure’, ‘all engineering’, ‘chemicals and chemical products’, ‘petroleum, coal products and nuclear fuels’, and ‘textiles’.

The RBI’s data, collected from 41 select scheduled commercial banks representing approximately 95 per cent of total non-food credit, indicates that non-food bank credit grew by 14.3 per cent year-on-year as of February 28, 2026, compared to 11.1 per cent during the corresponding fortnight of March 7, 2025.

Industry and Services Sector Show Strong Gains​

Credit to the industry recorded a year-on-year growth of 13.5 per cent, compared with 7.5 per cent in the corresponding fortnight of last year. Loans to ‘micro and small’ and ‘medium’ industries continued to expand at double-digit rates, alongside higher growth in credit extended to large industries.

The services sector demonstrated strong performance, with credit registering a growth rate of 16.3 per cent year-on-year (11.7 per cent in the corresponding fortnight of the previous year). This growth was supported by increased lending to ‘non-banking financial companies’ (NBFCs) and ‘commercial real estate’.

Personal Loans and Agriculture Expand​

Credit to the personal loans segment grew by 15.2 per cent year-on-year, compared to 11.7 per cent a year ago. Housing continued to show steady growth, while segments such as ‘vehicle loans’ and ‘loans against gold jewellery’ sustained sharp expansion.

Furthermore, credit to agriculture and allied activities expanded by 12.3 per cent, compared with 11.4 per cent in the corresponding fortnight of the previous year.