Indian Banking System Quadruples: Assets Hit 94% of GDP by FY25, SBI Report Reveals

• India's banking system has quadrupled in scale, with assets projected to reach 94% of GDP by FY25, up from 77%.
• Bank deposits surged from Rs 18.4 lakh crore in FY05 to Rs 241.5 lakh crore in FY25, while advances grew from Rs 11.5 lakh crore to Rs 191.2 lakh crore.
• Growth in both deposits and advances has accelerated significantly since FY21, reflecting strong post-pandemic balance sheet revival.
• Public Sector Banks (PSBs) are gradually reclaiming their market share in advances after a decline since FY08, indicating improved balance sheets and lending appetite.
• Total asset size of Indian banks sharply increased from Rs 23.6 lakh crore in FY05 to Rs 312.2 lakh crore in FY25, with asset growth rebounding strongly recently.

Why It Matters: Indian banking system shows robust growth, with assets quadrupling and PSBs regaining market share by FY25.