Bank Credit Rises to ₹237.03 Lakh Crore; Deposits Reach ₹288.16 Lakh Crore: RBI

Bank credit growth stood at 19.26% year-on-year in the fortnight ended October 31, 2026, compared with 17.94% in the previous fortnight, according to news reports citing data released by the Reserve Bank of India (RBI). Outstanding bank credit increased to ₹237.03 lakh crore from ₹198.76 lakh crore in the same period last year. 

The rise in lending came ahead of the festive season, when demand for loans generally increases. Borrowing for vehicles, homes and consumer durables tends to pick up around Diwali as households make purchases during the period. 

Bank Deposits Increase to ₹288.16 Lakh Crore 

Bank deposits grew 16.76% year-on-year in the fortnight ended October 31, marginally higher than the 16.6% recorded in the fortnight ended October 15. Total deposits stood at ₹288.16 lakh crore, compared with ₹249.79 lakh crore as of October 31, 2025. 

Credit growth remained higher than deposit growth during the period. The difference between the two rates widened to 2.5 percentage points from 1.34 percentage points in the previous fortnight. 

The gap reflects the faster pace of lending compared with the rate at which banks are adding deposits. Banks continue to mobilise deposits to meet their lending requirements as credit demand remains higher. 

Banks' Investments in Government Securities Rise 

Banks' investments in central and state government securities increased by 9.36% year-on-year to ₹77.19 lakh crore as of October 31, 2026. The figure stood at ₹70.58 lakh crore in the corresponding period last year. 

Within this category, investments in central government securities accounted for ₹77.03 lakh crore, compared with ₹70.49 lakh crore a year earlier, RBI data showed. 

Read More: India's Merchandise Exports Hit Record $49.47 Billion, Up 45% in October 2026! 

Conclusion 

RBI data showed higher year-on-year growth in both bank credit and deposits in the fortnight ended October 31, 2026. Credit growth remained ahead of deposit growth, with the difference between the two widening to 2.5 percentage points. 

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