New Delhi, March 5 -- The Reserve Bank of India (RBI) has lowered the repo rate by 125 basis points (bps) in this rate cut cycle and governor Sanjay Malhotra reiterated that rates will remain lower for longer. While banks have lowered both lending and deposit rates, these were not entirely in tandem.

Amid all this, credit growth in the banking system continues to outpace deposit growth. Mint takes a look at what some recent data on credit and deposit released by RBI say about the banking system and its customer base.

The weighted average lending rates of banks on fresh loans fell 66 basis points (bps) in the past year till January 2026 and stood at 8.67%. The steepest transmission was seen in foreign banks, where lending rates fell 148 ...