Bank Credit Slows to 11.1% in FY25: RBI Data on Loans and Deposits
Why in the news
RBI data for 2024-25 show slower lending, with private banks hit hardest, and depositors moving from savings accounts to higher-yield fixed deposits.
| Measure | Earlier | Latest |
|---|---|---|
| Credit growth | 15.3% (FY24) | 11.1% (FY25) |
| Retail share of credit | 24.1% (FY20) | 31% (FY25) |
| Individual borrowers’ share | 41.5% (Mar 2020) | 47.8% (Mar 2025) |
| Women borrowers’ share | 22.0% | 23.8% |
| Savings deposit share | 33.0% (2023) | 29.1% (Mar 2025) |
Key facts
- Retail credit growth eased to 13.2% yet beat overall growth; consumer durable and other personal loans are nearly one-third of it.
- Banks cut savings deposit rates to protect net interest margins.
- Term deposits at 7% or more were 72.7% of FDs in March 2025.
Exam angle
- Credit growth FY25: 11.1%; retail remains the main driver.