NBFC credit deployment soars around 15% on year, retail loans growth accelerated to 21.4%

Reserve Bank of India (RBI) has released data on sectoral deployment of credit by non-banking financial companies (NBFCs) for the month of July 2026, collected from major NBFCs and housing finance companies (HFCs). On a year-on-year (y-o-y) basis, NBFCs’ credit registered a growth of 14.9 per cent in July 2026 as compared to 10.6 per cent a year ago.

Credit to agriculture and allied activities recorded a robust growth of 18.0 per cent (y-o-y) in July 2026 as against 5.4 per cent a year ago. Credit to industry grew by 7.4 per cent (y-o-y) in July 2026 as compared with 9.3 per cent in July 2025. Moderation in growth was primarily driven by subdued growth in infrastructure, a major constituent of the segment.

Credit growth in services sector moderated to 15.2 per cent (y-o-y) in July 2026 from 24.5 per cent a year ago. While credit to ‘commercial real estate’ marked buoyant expansion, credit growth in ‘trade’ and ‘transport operators’ segments witnessed deceleration. Retail loans growth accelerated to 21.4 per cent (y-o-y) in July 2026 compared to 13.7 per cent a year ago. Within retail loans, ‘housing’ and ‘loans against gold jewellery’ segments displayed accelerated credit growth, while ‘vehicle loans’ maintained steady growth.

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