New Delhi, Dec 24 The number of deals in the banking, financial services and insurance (BFSI) space rose threefold in CY 25, a report said on Wednesday.
The report from financial services firm Equirus Capital said that the year saw 30 deals compared to 10 deals in 2024, with banks and non‑bank financial companies accounting for mergers, acquisitions and strategic deals worth Rs 42,939 crore.
Other BFSI segments recorded deals worth Rs 43,014 crore, it added.
The firm highlighted that NBFCs outperformed public sector banks, large and small private banks in terns of share price movement over the past 12 months.
On a price index set to 100, among public sector banks, Indian Bank, Canara Bank and Bank of India were the best performers at 151, 144 and 136 on the same index.
Among NBFCs, L&T Finance led the rally, nearly doubling to 204. Among large private banks, the strongest share‑price performers were IDBI Bank, IDFC First Bank and Yes Bank. Small private banks that outperformed included RBL Bank, South Indian Bank and DCB Bank, the report said.
Leading fund houses had recently said that they are overweight on banks and non‑bank financial companies (NBFCs), arguing net interest margins for banks should improve in FY27. Private banks’ asset quality is expected to recover and drive mid‑teens earnings growth in FY27 after a slow FY26, a recent report said.
NBFCs are delivering strong earnings growth driven by strong credit demand and improving margins on the back of decline in interest rates, it noted.
Public sector banks gained share in personal, home and auto loans while private banks strengthened share in consumer durables, credit cards and two‑wheelers, the report said. Personal loan disbursements grew about 23 per cent and 35 per cent YoY in H1FY26 and Q2FY26 respectively, with PSBs’ disbursements up 77 per cent and their market share by value rising to 36 per cent in Q2FY26.
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