Mumbai, Sept. 1 -- Reserve Bank of India (RBI) stated in a latest update that Bank credit growth (y-o-y) decelerated to 9.9 per cent in June 2025 from 15.0 per cent (net of merger) in June 2024. The share of loans bearing interest rates below 9 per cent increased to 54.1 per cent in June 2025, from 43.2 per cent in the previous year, with easing of policy rates. In line with monetary policy actions, the weighted average lending rate (WALR) on outstanding credit declined by 39 basis points (bps) during April-June 2025, with reductions observed across all major sectors.

Personal loans continued to grow faster than overall credit, gradually increasing their share to 32.0 per cent of total credit by June 2025; within personal loans, housing ...