Bank Credit Growth Hits 14.4% Double-Digit Surge Continues

• Bank credit growth rose to 14.41% year-on-year for the fortnight ended January 31, according to the Reserve Bank.
• This marks five consecutive months of double-digit credit expansion, signaling a revival in demand from retail and corporate borrowers.
• Growth was subdued at 9.76% in July but crossed 10% in August and accelerated significantly from September onwards.
• The GST Council's approval of a simplified two-tier tax structure in September 2025 is seen as improving business sentiment.
• Festive demand, retail loan expansion, and higher trade financing supported the steady rise in credit growth.