Indian Banks Face Funding Gaps as Lending Outpaces Deposits
2 hours agoBusiness
44LENS
1 Sources
TBNthebalanced.news
Indian Banks Face Funding Gaps as Lending Outpaces Deposits

Indian banks are facing a widening credit-deposit (CD) ratio, with lending growth outpacing deposit mobilization. This forces banks to rely on market borrowings, asset sales, and reserves to fund loans. Credit growth stood at 11.7% while deposits grew under 10%, intensifying funding pressures. Analysts anticipate this trend to continue, impacting lending rates and monetary policy transmission.

Political Bias
33%34%33%
Sentiment
45%