New Delhi, Sept. 9 -- Domestic bank credit growth in India could moderate to 15 per cent by March 2027 from around 18 per cent currently as a higher base from December weighs on growth, while banks may see stronger expansion through their overseas operations, Jefferies said in a report.

The brokerage noted that system credit growth has remained robust, supported by stronger credit demand and banks gaining market share from bonds and external commercial borrowings (ECBs).

"We expect sector domestic credit growth to moderate from 18 per cent now to 15 per cent by Mar-27 as base resets in Dec-26," it said, ANI reported.

Overseas Operations May Support Growth

Jefferies said banks' overall credit growth could improve by 3-4 percentage poin...