Archive · 31 May 2025
RBI Report: Metro Bank Credit Share Declines
Imagine banks are like stores that give out money.
In big city areas, these "money stores" aren't giving out as much money as they used to, their share has fallen.
Instead, smaller towns and areas are getting more.
Even though the big city "money stores" are lending less, they are still collecting the most money in deposits.
Overall, lending is slowing down.
People are also putting their money into different types of accounts.
Banks also give out loans for things like houses and cars, which are growing but also slowing down.
Metropolitan bank credit share fell to 58.7% in March 2025, from 63.5% five years prior.
Non-metro regions experienced faster credit growth than metropolitan areas.
Metro branches still lead in deposit mobilization with an 11.7% annual growth in March 2025.
Overall bank credit growth moderated to 11.1% in FY25, down from 15.3% in FY24.
Personal loan growth slowed to 13.2%, but reached 31% of total credit.
- Who
- Reserve Bank of India (RBI)
- What
- Bank credit share in metropolitan areas declined while credit growth accelerated in other areas.
- When
- Report data as of March 2025, with comparisons to five years prior.
- Where
- Metropolitan areas and other regions in India.
- Why
- Due to faster credit growth in non-metro regions.
- Metro Bank Credit Share (March 2025)
- 58.7%
- Metro Bank Credit Share (5 years ago)
- 63.5%
- Metro Deposit Growth (March 2025)
- 11.7%
- Bank Credit Growth (FY25)
- 11.1%
- Bank Credit Growth (FY24)
- 15.3%
- Personal Loan Growth
- 13.2%