MUMBAI: Bank credit growth in FY26 was led by services and retail sectors, with non-food credit expanding by Rs 29.2 lakh crore, largely driven by NBFC lending, housing and gold-backed loans, according to sectoral data.Together, services and personal loans accounted for more than two-thirds of additional credit. Services saw an addition of Rs 9.7 lakh crore, contributing 33.1% to the total growth, while personal loans rose by Rs 9.7 lakh crore, accounting for 33.2%.In services, non-banking financial companies emerged as the largest recipients of additional credit. Loans to NBFCs rose by Rs 4.3 lakh crore, constituting 14.8% of the total credit growth. Housing finance companies under this sector accounted for Rs 50,157 crore, or 1.7% of additional credit.Retail lending growth was led by housing loans and gold. Home loans rose by Rs 3.5 lakh crore, contributing 11.8% to the total credit expansion. Loans against gold jewelery rose by Rs 2.5 lakh crore, accounting for 8.7% of the total. According to the data, part of the increase in gold loans reflects the reclassification of some agricultural loans to the retail sector.In percentage terms, loans against gold jewelery increased by 124.8%. Computer software grew by 39%, while wholesale trade expanded by 20.1%. Personal loans recorded a growth of 16.2%, indicating stronger momentum in these sectors compared to other sectors. Industry credit rose by around Rs 6 lakh crore, contributing 20.4% to the total increase, while agriculture and allied activities saw an addition of Rs 3.6 lakh crore, accounting for 12.3%.
reconnaissance
Which sector contributed the most to bank credit growth in FY2026?
