NBFC Credit Growth Hits 15.4% in September 2026
Non-banking financial companies (NBFCs) and housing finance companies (HFCs) reported a 15.4 percent year-on-year increase in credit deployment for September 2026. This figure represents an acceleration from the 13.3 percent growth recorded during the same month in 2025.
The data, which covers a sample of NBFCs in the Upper and Middle Layers alongside HFCs, shows significant variation across sectors. Credit extended to agriculture and allied activities experienced substantial growth, rising to 17.8 percent compared to 5.2 percent the previous year. Similarly, retail loans saw accelerated growth, reaching 21.9 percent in September 2026, up from 16.8 percent a year prior. Within the retail segment, vehicle loans, loans against gold jewellery, and housing loans all contributed to this expansion.
Conversely, the industrial sector saw a decline in credit growth, falling to 7.4 percent from 10.2 percent in September 2025, with infrastructure credit remaining subdued. The services sector also experienced a moderation in growth, dropping to 17.3 percent from 23.0 percent a year earlier. Despite this overall moderation in services, the commercial real estate, trade, and transport operator segments recorded higher credit growth.
This data, representing approximately 87 percent of total credit based on the 2024-25 Report on Trend and Progress of Banking in India, provides a snapshot of current non-bank lending trends that financial stakeholders should monitor for shifts in sectoral capital distribution.
Why it matters
The shift in credit deployment toward retail and agriculture, coupled with the slowdown in industrial lending, serves as a key indicator of current non-bank lending trends for financial sector observers.
FAQ
What was the overall credit growth for NBFCs in September 2026?
NBFCs recorded a year-on-year credit growth of 15.4 percent in September 2026.
Which sectors saw accelerated growth in the retail segment?
The retail sector saw accelerated growth in housing loans, loans against gold jewellery, and vehicle loans.
How did industrial credit growth perform during this period?
Credit growth in the industrial sector declined to 7.4 percent in September 2026, down from 10.2 percent in September 2025.
Source: RBI Press Releases. See the original source for full details.
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