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Bank credit to industry accelerates to 13.3% Y-o-Y: RBI
Feb-01-2026

The Reserve Bank of India (RBI) data showed that the pace of bank credit to industry has accelerated to 13.3% in December 2025 as against 7.5% in the corresponding period last year. Further, the credit to 'micro and small' showed sharp acceleration in growth, while credit to 'medium' industries continued to exhibit robust expansion. Meanwhile, credit to large industries also saw a picked up. The RBI has released data on sectoral deployment of bank credit for December 2025, collected from 41 select commercial banks which together account for about 95% of the total non-food credit by all banks.

The data highlighted that the non-food bank credit grew 14.4% year on year (YoY) as on the fortnight ended December 31, 2025, compared to 11.1% YoY in the year-ago period (December 27, 2024). Further, a buoyant growth has been seen in outstanding credit to major industries like 'infrastructure', 'all engineering', 'basic metal and metal products', 'chemical and chemical products', 'textiles' and 'petroleum, coal products and nuclear fuels'. The credit outstanding to industry at end-December stood at Rs 44.13 lakh crore as against Rs 38.93 lakh crore in December 2024. Meanwhile, a marginally slower growth has been seen in advances to agriculture and allied activities which grew 12.1% YoY in December 2025 as against 12.5% YoY in the corresponding fortnight of the previous year. 

Moreover, the higher growth in segments like 'non-banking financial companies', 'trade' and 'commercial real estate' has helped credit to services sector to grow 15.3% YoY in December 2025 as against 11.5% YoY in the corresponding period a year ago. Besides, credit to personal loans segment recorded 14.4% YoY growth as against 12% YoY year ago. The segments such as 'vehicle loans' and 'loans against gold jewellery' sustained robust credit growth, 'housing' witnessed steady growth while 'credit card outstanding' growth decreased.

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