New Delhi, April 19 -- India's banking sector is expected to see credit growth in an 11-13% range in the first half of 2026, with retail lending emerging as the key driver, as over half of the lenders expect loan expansion in the segment to exceed 13%, according to the latest FICCI-IBA Bankers' Survey released on Sunday.

The survey, based on responses from 24 public, private, foreign, small finance and cooperative banks, points to a broadly constructive outlook on credit demand, supported by improving asset quality, stronger capital buffers and resilient economic activity. About 46% of respondents expect non-food credit growth in the 11-13% range, while 29% foresee expansion above 13%. Only 8% anticipate growth below 9%, indicating limit...