What happened
Bank credit grew 17.94% year-on-year to ₹232.54 lakh crore as of 15 October 2026, faster than the 16.60% growth in deposits, according to RBI data released on Friday, 30 October, as reported by BusinessLine, CNBC-TV18 and the Economic Times.
A year earlier, on 17 October 2025, credit stood at ₹197.17 lakh crore. Deposits were ₹284.37 lakh crore, up from ₹243.88 lakh crore.
| Measure | 17 Oct 2025 | 15 Oct 2026 | Growth |
|---|---|---|---|
| Bank credit | ₹197.17 lakh crore | ₹232.54 lakh crore | 17.94% |
| Bank deposits | ₹243.88 lakh crore | ₹284.37 lakh crore | 16.60% |
| Government securities held | ₹70.53 lakh crore | ₹77.32 lakh crore | 9.64% |
Why credit grew faster
The reports attribute the higher credit growth to surplus liquidity in the banking system in early October and to festive-season demand. Liquidity means the cash available with banks. The surplus ranged between ₹2 lakh crore and ₹4.5 lakh crore from 1 to 15 October.
Banks were flush with funds after collecting large FCNR(B) deposits (foreign currency deposits that NRIs can hold in India) under the RBI’s concessional window.
Liquidity in recent months
In August and September, system liquidity rose substantially because of recent measures to attract capital inflows. Measured by the net position under the Liquidity Adjustment Facility (LAF), the daily surplus averaged ₹5.9 lakh crore since the last Monetary Policy Committee meeting in August 2026.
Average daily net absorption under the LAF, meaning the cash banks parked with the RBI, rose from ₹1.2 lakh crore in July to ₹5.8 lakh crore in August and ₹7.8 lakh crore in September.
Government securities
Banks’ investments in central and state government securities rose 9.64% to ₹77.32 lakh crore. Of this, central government securities accounted for ₹77.12 lakh crore, up from ₹70.42 lakh crore a year earlier.
What it means for you
Credit growing faster than deposits shows that lending demand is strong relative to the money banks are raising from savers. The sources do not say whether this will change loan or deposit rates, so no such conclusion can be drawn from this data alone.
If you are planning a loan, you can estimate monthly payments with the EMI Calculator. If you hold deposits, the FD Calculator shows what a given rate would earn.
Background
The RBI publishes data on bank credit and deposits at regular intervals, and the comparison is made against the same period a year earlier. The latest figures are as of 15 October 2026, set against 17 October 2025. For how banks report their performance, see our guide on NII, NIM, NPA and CASA.
