New Delhi, Aug 12 India's credit demand remains resilient, backed by rapid digitalisation, growing consumer aspirations and robust financial infrastructure, a report said on Tuesday.
As of March 2025, Industry Assets Under Management (AUM) stood at Rs 121 lakh crore, reflecting a 21 per cent year-on-year (YoY) increase and a 4 per cent quarter-on-quarter (QoQ) rise, Experian, a global data and technology company, said in its report.
Fresh disbursals during the quarter reached Rs 16 lakh crore, up 10 per cent YoY and 8 per cent QoQ, largely driven by continued growth in gold loans, business loans, and loans against property (LAP), the report stated.
“India’s credit ecosystem continues to evolve against the backdrop of digitalisation, changing consumer aspirations, and a robust financial infrastructure," said Manish Jain, Country Managing Director of Experian in India.
Our latest Credit Insights underline the structural depth of this demand, especially in secured lending and small-ticket personal loans, pointing to both growing consumer confidence and responsible borrowing, he added.
The secured lending landscape witnessed a surge, with loans accounting for 32 per cent of originations by count in Q4 FY25.
According to the report, the segment also witnessed stable average ticket sizes at Rs. 1.7 lakh, indicating consistent borrower behaviour and healthy credit appetite.
Unsecured lending remained strong, with the portfolio growing 9 per cent QoQ, led by a 22 per cent QoQ rise in the business loan portfolio.
Personal loans continued to dominate the unsecured segment in both volume and value. Overall, both personal loans and gold loans are showing a shift towards higher ticket sizes, the report said.
Credit card disbursals, however, showed a declining trend in Q4 FY25, with a 2 per cent QoQ reduction in the credit card sourcing, the report highlighted.
Lender dynamics also shifted during the quarter.
Public sector banks (PSBs) increased their share in home and gold loans, while non-banking financial companies (NBFCs) strengthened their presence in the LAP and used car loan segments, the report noted.
NBFCs also expanded their footprint in unsecured lending, particularly in personal and consumer durable loans.
“As the landscape grows more complex, the need for timely, actionable insights becomes even more essential,” Manish added.
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