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Bank Credit to Industry Surges 18.2% in August, RBI Data Reveals
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News18•30-09-2026, 19:15
Bank Credit to Industry Surges 18.2% in August, RBI Data Reveals
- •Bank credit to industry saw a significant increase of 18.2% in August, compared to 7% in the same period last year, according to the Reserve Bank of India.
- •Non-food bank credit grew by 18.8% year-on-year as of August 31, 2026, a substantial rise from 10.2% in the corresponding period of the previous year.
- •Credit to 'large' and 'medium' industries accelerated, while 'micro and small' industries maintained steady growth.
- •Key sectors like infrastructure, engineering, metals, chemicals, food processing, textiles, construction, and petroleum products showed strong year-on-year growth in credit.
- •The services sector experienced a 24.3% growth in credit, driven by non-banking financial companies (NBFCs), trade, professional services, and commercial real estate. Personal loans also grew by 16.9%.
Key Questions Answered
Bank credit to industry grew by 18.2 per cent in August 2026, marking an increase from the 7 per cent growth recorded during the same period in the previous year.
The services sector registered a year-on-year growth rate of 24.3 per cent in August 2026, which was supported by robust expansions in segments such as non-banking financial companies, trade, professional services, and commercial real estate.
Advances to the personal loans segment grew by 16.9 per cent in August 2026, up from 11.9 per cent a year ago. While housing and vehicle loans maintained double-digit growth, credit card outstandings and loans against gold jewellery experienced deceleration.
