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National News

The Times of India News

National / The Times of India

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Credit growth outpaces deposit, sharpens wedge

Deposit outflows in early December, driven by tax payments, widened the credit-deposit gap for scheduled banks. Despite a year-on-year deposit growth of 9.4%, deposits fell by Rs 1.7 lakh crore in a fortnight. Banks are resorting to RBI borrowings and asset liquidation to fund strong credit expansion.

2 Jan 2026 7:25 am