SENSEX
NIFTY
GOLD
USD/INR

Weather

image 28    C

Company News

The Economic Times

Company / The Economic Times

details

Shifting Gears: PSBs borrow more to cater to credit demand as deposits lag

Public sector banks are borrowing more to fund lending expansion. Deposits are not keeping pace with credit growth for these banks. Private banks show stronger deposit growth and are gaining market share. This trend raises concerns about funding sustainability for state-owned lenders. Abundant system liquidity currently cushions the impact of these shifts.

27 Aug 2026 12:36 am