Archive · 1 Sep 2026
India’s Industry Credit Growth Surges 20%, Gold Loans Moderate
Banks in India lent much more money to industries in July than they did a year earlier.
Loans to industry grew by 20 percent.
Engineering, jewellery, petroleum products, and vehicle businesses were among the biggest borrowers.
Loans backed by gold jewellery were still growing, but their growth slowed a lot.
Loans to service businesses also increased quickly.
Retail loans, such as housing and vehicle loans, grew as well.
Infrastructure loans grew more slowly, and lending to roads and telecommunications fell.
Overall bank lending increased by 19.3 percent.
Bank credit to industry grew 20% year-on-year in July, up from 6.5% a year earlier.
Engineering, gems and jewellery, petroleum products, and vehicles recorded some of the fastest industrial credit growth.
Gold jewellery loans grew 88.1% year-on-year, slowing from 136.4% a year earlier.
Services credit rose 22.9%, while retail credit expanded 16.2% and agriculture credit increased 17%.
Overall bank credit grew 19.3%, while infrastructure credit grew 10.2%, with roads and telecommunications lending declining.
- Who
- The Reserve Bank of India reported data covering scheduled commercial banks.
- What
- Bank credit to industry rose 20% year-on-year in July, while gold-loan growth moderated.
- When
- The data refers to July, as of July 31.
- Where
- India.
- Why
- Industrial and services lending increased across several major sectors, contributing to stronger overall bank-credit growth.
- Industrial credit growth
- 20% year-on-year in July, compared with 6.5% a year earlier
- Gold jewellery loan growth
- 88.1% year-on-year, down from 136.4% a year earlier
- Services credit growth
- 22.9% year-on-year
- Retail credit growth
- 16.2% year-on-year
- Infrastructure credit growth
- 10.2% year-on-year
- Overall bank credit growth
- 19.3% year-on-year as of July 31
- Data coverage
- Scheduled commercial banks representing about 95% of total non-food credit