New Delhi [India], October 11 (ANI): Banks expect credit demand to strengthen across most sectors of the Indian economy in Q3FY27, except agriculture, according to the Reserve Bank of India’s (RBI) latest Bank Lending Survey (BLS).
The survey indicated that bankers remained optimistic about lending activity, even as overall loan terms and conditions are expected to remain unchanged during the quarter compared with Q2FY27.
“Bankers’ expectations on loan demand improved across sectors (except for the agriculture sector) in Q3:2026-27, majorly driven by seasonal demand,” it said, adding, “Overall loan terms and conditions are expected to remain unchanged during Q3:2026-27 over the previous quarter.”
The findings come from the 37th round of the central bank’s Bank Lending Survey, which captures the assessment and expectations of major scheduled commercial banks regarding credit demand and lending conditions across key economic sectors.
During Q2FY27, bankers reported an improvement in optimism regarding credit demand across major sectors of the economy, indicating positive sentiment towards lending activity. “Bankers reported improved optimism in credit demand across major sectors of the economy during Q2:2026-27,” the apex bank noted in its survey.
Apart from this, the survey also highlighted some easing in loan terms and conditions at the aggregate level during the quarter.
“Bankers indicated some easing in loan terms and conditions at the aggregate level,” it said.
Looking beyond Q3FY27, bankers continued to express optimism about credit demand during Q4FY27 and Q1FY28, suggesting expectations of sustained borrowing activity in the coming quarters.
The survey, conducted during Q2FY27, gathered responses from senior loan officers of major scheduled commercial banks. It assessed lending conditions during the quarter and captured expectations for Q3FY27, Q4FY27 and Q1FY28.
“Going forward, bankers’ expectations on loan demand exhibited sustained optimism in upcoming quarters,” it said.
The survey provides insights into banks’ perceptions of borrowing demand and lending conditions across major sectors, helping assess emerging trends in credit activity. (ANI)
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