India's Banking Sector Shows Steady Credit Growth and Moderate Deposit Increases

As of early 2026, credit growth in India's banking sector remained steady around 13-15%, with scheduled commercial banks reporting 13.6% year-on-year growth by mid-February. Deposits grew at 11.2% by mid-February, slightly down from previous months, while December 2025 data showed a 10.5% year-on-year deposit increase. Public sector banks saw improved deposit growth, whereas private banks experienced a slight slowdown. Term deposits, especially from households, remained the primary driver of deposit accumulation, with notable contributions from female and senior citizen depositors.