New Delhi, Aug. 6 -- Although credit growth slowed in 2024-25, the broader flow of financial resources to the commercial sector has significantly improved, Reserve Bank of India governor Sanjay Malhotra said, emphasising that the slowdown in corporate borrowings should not be viewed in isolation.

Overall flow of financial resources to the commercial sector increased from Rs.33.9 trillion in 2023-24 to Rs.34.8 trillion in 2024-25, according to the governor. "This trend continues during the current financial year as well," said Malhotra.

RBI defines the flow of financial resources to the commercial sector as the aggregate of bank loans, loans from non-banks, and investment by Life Insurance Corp. of India in corporate debt, apart from fun...