Most banks saw credit growth outpace deposits in Q2
In short
In the second quarter, most banks had faster loan growth than deposit growth. RBL Bank led both assets and liabilities, while HDFC Bank and Bank of India were exceptions with stronger deposit growth.
This matters because deposits fund lending. The report does not give exact numbers, and it is not clear how long the gap will last.
What the reporting says
Most banks saw credit growth outpace deposit growth in the second quarter, with RBL Bank leading both assets and liabilities and Union Bank of India showing the widest gap. HDFC Bank and Bank of India were the main exceptions, posting stronger deposit growth than credit growth. The reporting does not provide exact figures, and it is unclear whether the pattern is temporary or part of a broader trend.
Why it matters
In the second quarter, most banks reported credit growth ahead of deposit growth, with RBL Bank leading on both assets and liabilities and Union Bank of India showing the biggest gap. HDFC Bank and Bank of India were exceptions, with deposits growing faster than credit. The source gives no exact percentages, and it does not say whether this will affect margins, funding costs, or lending plans.