Bank credit annual growth to industry slows to 7.3 pc in Sep

Mumbai, Oct 31 (PTI) Growth in bank credit to industry moderated to 7.3 per cent in September, compared with 8.9 per cent in the corresponding period last year, according to the RBI data released on Friday.

On a year-on-year basis, non-food bank credit grew 10.2 per cent as on the fortnight ended September 19, 2025, compared to 13 per cent during the corresponding fortnight of the previous year (September 20, 2024), the RBI said.

The central bank has released the data on sectoral deployment of bank credit for September collected from 41 select commercial banks, accounting for about 95 per cent of the total non-food credit by all banks.

"Credit to industry recorded a year-on-year growth of 7.3 per cent, compared with 8.9 per cent in the corresponding fortnight of last year," said the data on 'Sectoral Deployment of Bank Credit -- September 2025'.

Credit to 'micro and small' and 'medium' industries continued to grow in double-digits.

Among major industries, outstanding credit to 'all engineering', 'infrastructure', 'textiles', and 'vehicles, vehicle parts and transport equipment' recorded buoyant year-on-year growth.

Further, credit to agriculture and allied activities registered a year-on-year growth of 9 per cent (16.4 per cent in the corresponding fortnight of the previous year).

The data showed that advances to services sector registered a growth rate of 10.2 per cent year-on-year.

Growth in credit to non-banking financial companies (NBFCs) decelerated, though segments such as tourism, hotels and restaurants, computer software, and commercial real estate witnessed robust growth.

The RBI said credit to personal loans segment recorded a decelerated year-on-year growth of 11.7 per cent, as compared with 13.4 per cent a year ago, largely due to moderation in growth of other personal loans, vehicle loans, and credit card outstanding. PTI NKD TRB