RBI sectoral credit data, published on 29 September 2026, shows consumer demand for durables and credit cards is flattening, with loans up 2.4% and card balances 3.6% year‑on‑year in August. Bank credit rose 4.8% to Rs 223.9 lakh crore, a 19.1% surge overall, yet discretionary lending lagged behind secured borrowing.
Gold loans have become the dominant driver of retail credit growth, leaping 83.2% year‑on‑year to Rs 5.6 lakh crore in August and adding Rs 98,096 crore in the first five months of FY27—nearly matching the Rs 98,858 crore added through home loans.
Vehicle loans remain robust, climbing 19.7% to Rs 7.8 lakh crore and adding Rs 37,027 crore between April and August. Personal loan activity accounts for 33.9% of incremental credit, while NBFC lending surged 37.5% to Rs 21.6 lakh crore and public financial institutions jumped 83.7%.
The data highlight a pivot toward secured lending and may prompt RBI to recalibrate its credit policy in upcoming sessions, as policymakers balance growth with risk containment.