HOME > MARKETS > ECONOMY NEWS
  ECONOMY NEWS
ECONOMY
Banking activity strengthens significantly in India: Govt
Dec-11-2025

The government in its latest report has said that the banking activity has strengthened significantly in India, with domestic deposits and credit nearly tripling between 2015 and 2025. Deposits rose from Rs 88.35 lakh crore to Rs 231.90 lakh crore and credit expanded from Rs 66.91 lakh crore to Rs 181.34 lakh crore.

The report also showed that capital buffers have strengthened. The capital to risk weighted assets (CRAR), which measures capital adequacy, rose from 12.94% in March 2015 to 17.36% in March 2025 with CET-1, which represents the highest quality capital a bank can hold, increasing from 9.98% to 14.81% during the same period.

Asset quality has also improved. Gross Non-Performing Assets (GNPA) and Net Non-Performing Assets (NNPA) have reduced to 2.2% and 0.5% in March 2025 after rising to highs of 11.18% and 5.94% respectively in March 2018. Besides, profitability of banks has enhanced significantly. Between FYs 17-18 and 24-25, Return on Assets (RoA) increased from -0.22% to 1.37%, and Return on Equity (RoE) jumped from -2.74% to 14.09%.


  RELATED NEWS >>