New Delhi, Nov 24 India's retail credit momentum stayed firm through second quarter of financial Year 2026 (Q2 FY26), driven by a continued shift toward secured lending, rising demand for large‑ticket loans and deeper participation from public sector banks and non-banking financial companies (NBFCs), a report said on Monday.
Gold loans remained the fastest-growing category, while home and auto loans rebounded sharply with the onset of the festive season, the report from credit bureau CRIF High Mark said.
Outstanding retail and consumption loans grew 18 per cent year‑on‑year and 4.5 per cent quarter‑on‑quarter, led by gold loans (up 35.8 per cent YoY, 8.6 per cent QoQ), auto loans (up 16.3 per cent YoY, 2.9 per cent QoQ) and two‑wheeler loans (up 15 per cent YoY and 2 per cent QoQ), the firm added.
Loans to sole proprietors continued to expand, rising 24.6 per cent YoY to Rs 46.7 lakh crore, the report noted.
Gold loans originations value rose 53 per cent YoY, and Average Ticket Size increased to Rs 1.64 lakh and asset quality strengthened across public sector undertaking (PSU) banks, private banks, and NBFCs.
Home‑loan originations rebounded to Rs 3 lakh crore, up 25 per cent QoQ, with loans above Rs 75 lakh accounting for 39.4 per cent of originations, while PSUs raised their share to 50 per cent, the report added.
The credit ecosystem continues to demonstrate resilience and discipline, and quarterly results reaffirm that India's retail credit cycle is on a stable footing, said Sachin Seth, Chairman, CRIF High Mark and Regional Managing Director -- CRIF India & South Asia.
Personal‑loan outstanding rose 12 per cent YoY, supported by a sharp recovery in originations to Rs 2.92 lakh crore.
Large‑ticket loans above Rs 10 lakh also expanded, forming 37.4 per cent of the origination value.
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