Bank credit also witnessed a notable increase. Non-food bank credit of all scheduled banks climbed to Rs 208.14 lakh crore as on December 31, 2025, compared with Rs 201.81 lakh crore on December 15, 2025 and Rs 181.95 lakh crore in late December 2024. Loans, cash credits and overdrafts forme
India's banking system continues to exhibit strong and predictable seasonal rhythms, with the financial year-end emerging as the most influential driver of banking activity, according to the Reserve Bank of India's latest bulletin.
The banking sector's credit-to-deposit (CD) ratio has breached the 80 per cent mark in October 2025, indicating stronger credit offtake compared to deposit growth, according to a report by CareEdge Ratings.
Six commercial banks have announced that they have reduced the rate for demand deposits from 0.25 per cent to 0.2 per cent. The banks have reduced the interest rates on deposits covering a fixed period of time.